UK: Vodafone and Three announce intention to merge, creating the biggest operator

14 June 2023
The combined company would overtake both EE and O2 in market share.

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  • 15 Jun 2023

Blur, 14 Jun 2023Less competition is always a bad thing for consumers.Normally I'd agree. Not in this case though. There's a lot of collusion and almost a cartel situation already in the UK mobile industry. Pricing for the latest contract phones and sim deals is pretty much identical give ot take a couple of quid a month at best. The annual price increases for inflation are almost identical as well.

EE are currently the biggest UK network by market share and while they have led the way in terms of introducing 4G and 5G, they've also done the same with introducing inflation busting price increases. Now, they will have to be more careful in that approach. They have a genuine competitor who can challenge their position so consumers now have a bit of an alternative.

The mvno's are the best option but support is more limited for such networks with less overheads. I think it's actually good for consumers perversely to have less competition because one network that monopolized the market and has pushed prices up, is now usurped and this will actually potentially help customers.

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    • Anonymous
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    • 15 Jun 2023

    geordie81, 15 Jun 2023easy, the minimum wage in the UK is around 1800 euro per mo... moreMine is £12 per month (Scancom) for Three UK unlimited, data, & calls :)

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      • is it..
      • nx%
      • 15 Jun 2023

      ..this competition is an illusion, money always wanders to the same pockets,
      leaving us as exactly as we meant to - pay for everything!

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        • Diavolo
        • 0p}
        • 15 Jun 2023

        answ, 14 Jun 2023In Hungary the minimum wage is around 417 EUR (after taxes)... moreThe minimum wage in the USA is around $15 per hour and my unlimited data plan is only 15 a month.

          answ, 14 Jun 2023In Hungary the minimum wage is around 417 EUR (after taxes)... moreeasy, the minimum wage in the UK is around 1800 euro per month, and my unlimited data is only £19 a month or about 23 euro

            Fuck sake, at the day when I bought loads of Vodafone shares

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              • answ
              • 3iC
              • 14 Jun 2023

              In Hungary the minimum wage is around 417 EUR (after taxes) and you get unlimited mobile data for more than 30 EUR.

              Beat that! Lol :)

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                • 39y
                • 14 Jun 2023

                NomiHK786, 14 Jun 2023EE did it first with Orange and T-Mobile, then O2 Virgin an... more (Hutchinson) was an innovative network, starting off by only having 3G mobiles and BYOD 3G phones with Sim only contracts. They were also one of the cheapest contract mobile
                Three were barred from buying O2 in 2016 exactly for the same reason, even though the earlier BT purchased EE.
                I was of the opinion that this deal wouldn't be allowed, however I now believe a perverse reason which should have blocked it will allow this to happen

                First EE is undeniably the most expensive network, so even if prices increase they will be less than EE.

                Second both Three & Vodafone cannot compete in all the markets EE / BT so to deny the merger would forever keep them small

                As much as it makes no sense on paper indeed that would be a finding a merger will bring competition to BT / EE

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                  • Blur
                  • 0Ru
                  • 14 Jun 2023

                  Less competition is always a bad thing for consumers.

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                    • Anonymous
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                    • 14 Jun 2023

                    Anders, 14 Jun 2023Hopefully Ofcom will actually do their job this time and bl... moreIt's not up to Ofcom, it's up to the CMA.

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                      • garminhg
                      • s3X
                      • 14 Jun 2023

                      Anonymous, 14 Jun 2023Such a stupid comparison I mean unlimited data in my bi... morein Italy i pay 10€ per month for a 70gb 4g+ plan/ unlimited local calls/sms with Vodafone which is very cheap on my opinion, i have never seen similar offers in UK

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                        • Anonymous
                        • a0V
                        • 14 Jun 2023

                        Anders, 14 Jun 2023If your business is losing money and customers the strategy... moreSuch a stupid comparison

                        I mean unlimited data in my birth country is €10 a month, while minimum wages are around €720.

                        The country I live in the minimum wages are just above €1900 a month, unlimited data is €25 a month.

                        India is cheap because most people earn many times less than people in western countries, and elite doesn't count.

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                          • Anonymous
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                          • 14 Jun 2023

                          imparanoic, 14 Jun 2023You want to see how much they charge for data in USAUS is pretty expensive

                          But Japan is even worse

                            This merging makes sense as long as they can output much cheaper and better offers than competition othervise its nothing but scam.
                            Merging makes lot more expensies to carry on for those two companies.

                              Anders, 14 Jun 2023If your business is losing money and customers the strategy... moreYou want to see how much they charge for data in USA

                                Anders, 14 Jun 2023If your business is losing money and customers the strategy... moreAre we talking 5g in India for that price?

                                  From personal experience, this is a merger of the network with the worst customer service, with the network that has the worst UK overall coverage (particularly in Scotland)

                                    Anders, 14 Jun 2023If your business is losing money and customers the strategy... moreits mostly because of different laws and tax rules and population. in india, low profit margin but higher quantity is the same as low population+high margin

                                      namzap, 14 Jun 2023vodafone is doing pretty bad in many countries, they are ju... moreIf your business is losing money and customers the strategy is to be more competitive. Ie, cheaper tariffs, better perks like partnerships with retailers. In the UK to get unlimited data from Vodafone would cost around €30. Meanwhile in India you can get unlimited for like €5. Westerners are massively overcharged

                                        Hopefully Ofcom will actually do their job this time and block this. Like they should've done when they let T-Mobile UK and Orange UK merge to become EE.

                                        More competition is always best for consumers, no matter what they're promising

                                        Less competition = more power to companies
                                        More competition = more power to consumers