Financial Times: AT&T and Verizon to buy Vodafone
Those with knowledge of the deal say that Verizon and AT&T will offer $3.93 a share for Vodafone's stock which would be a 40% premium to the current value of the shares. According to the source, Verizon would acquire the 45% stake in the company owned by Vodafone and AT&T would get the operations outside the U.S. Vodafone currently has 403 million subscribers and operates globally with a focus on Europe.
If the rumor is true, it would mean that all four major U.S. carriers would be involved in a deal at the same time. The third largest carrier, Sprint, is looking to close a deal that would see 70% of the company purchased by Japan's Softbank. Number four T-Mobile is a stockholder vote away from closing its deal to purchase number five MetroPCS. The latter's stockholders are voting on the deal next week.
source: FinancialTimes (subscription req'd), GIGaom via CNET
1. nanbanda (Posts: 17; Member since: 30 Mar 2013)
market consolidation is the right opposite of market competion, not very good for the customer on the long run....
3. gameday78 (Posts: 47; Member since: 17 Mar 2012)
Are you stupid or something? When customers travel outside the United States they get fleeced by overseas carriers... this would give Customers a solid network to use at much lowered rates! plus open door to more global plans not just country based plans. they said the same thing when it was taken from regional plans to national plans. Hence we no longer have Home areas or long distance or roaming... all plans are anywhere, anytime in the us now.
5. rvp10sucks (Posts: 5; Member since: 26 Mar 2013)
dude get real... national roaming is one thing... global roaming is a whole different game... won't happen
6. nanbanda (Posts: 17; Member since: 30 Mar 2013)
yes true imagine such plans are held by a few global providers.....
31. XPERIA-KNIGHT (unregistered)
Less competition could mean higher prices and less innovation!
7. NexusKoolaid (Posts: 360; Member since: 24 Oct 2011)
I'm sorry, but the names AT&T and Verizon and notion of lowered rates do not mix. The only thing that changes as far as I'm concerned is who ends up doing the fleecing.
10. MikeG77 (Posts: 379; Member since: 24 Nov 2008)
That will be At@t as they will have control of the international aspect IF the EU regulators approve the deal.
18. gameday78 (Posts: 47; Member since: 17 Mar 2012)
Wow AT&T was trying to buy T Mobile US I was hearing about and reading about the upcoming lowered international roaming agreements that that purchase would have allowed. The purchase of T Mobile by AT&T would have given AT&T a small portion of ownership and T Mobile International. The cost of roaming abroad was set to drop in the ballpark of 20 to 30 percent. So with knowing that information I have no doubt that the purchase of Vodafone which clearly allow for lowered international traveling rates and fees... If you feel the need to bash companies for charging for services but you clearly use in the United States go ahead but these are services that most people live for daily and could not live without. The wireless industry has evolved dramatically over the past few decades. From: paying 75 to $100 a month for calling 10 out paying almost the same rates per person for calling, texting, data,video chatting and much much more! There are lower plans out there that give you less service for lower cost what the average person will most likely never get away from using the Services that they have so dearly come to live and love on a daily basis.
19. downphoenix (Posts: 2733; Member since: 19 Jun 2010)
only if they are a customer of that carrier. As far as international rates, there are ways to lower this without having to move toward a 1 carrier world.
22. Bernoulli (Posts: 2368; Member since: 01 Sep 2012)
Dude T-Mobile has an exaggerated roaming when traveling outside the country, even if going to the UK the roaming still applies, you'd be better off buying a local sim, like I do, that 1, 500 $ bill for roaming gave me the wake up call
25. xpr3ss10n (Posts: 58; Member since: 15 Dec 2011)
Your an idiot. Economics 101: more competition = better prices for consumers. Do you really think for one second that you will actually pay less for your phone bill? Carriers have done nothing but raise prices on us. Limited data, sharing data, activation fees , 2 year only deals. It is only going to get worse
9. MikeG77 (Posts: 379; Member since: 24 Nov 2008)
Any form of consolidation where a company buys out another is bad but this deal is good for Verizon because now they have full control. I feel bad for At@t as the EU is going to have to approve this deal and dealing with the EU is a nightmare. In regards to competition Europe has way more options to chose from than the US so if someone leaves the country they can use either Verizon, At@t or a local carrier. Im just curious to see how this will affect the pricing?
2. untouchable (Posts: 18; Member since: 04 Sep 2010)
This is big. This is huge. This is one monster of a deal if it goes through.
8. amancarlos (Posts: 42; Member since: 09 May 2012)
i think verizon wants to get rid of vodafone, considering vodafone has 45% (not the latest statistics) stake in verizon.
all in all, we can't say if its a good thing or bad, but one thing is for sure its a really big f*cking deal.
16. lsutigers (Posts: 809; Member since: 08 Mar 2009)
Reason is the only thing keeping Verizon afloat is the wireless operations. Wireline, including Fios has been bleeding money for years. Not to mention the wireline business customer care is non-existent. Actually can't say wireless CS is much better.
11. InspectorGadget80 (Posts: 7030; Member since: 26 Mar 2011)
If at&t buys vodafone they will hike the prices up. N besides im planning on visiting india next year. But dont verizon cant use gsm network or support?
12. johnbftl (Posts: 264; Member since: 09 Jun 2012)
This would be huge. Consider the possibility of drastically lowering the International roaming rates or even having plans that cover multiple countries. From a business perspective, yes the ultimate goal is to make money as a business, however if this were to go through it would allow both AT&T and Verizon to not have to pay local carriers for roaming agreements. In bypassing that cost, roaming rates would be lowered or multinational plans could be introduced.
13. mgonzalez (Posts: 21; Member since: 12 Jun 2011)
There is no way the European Union would approve of this.
17. Omarc07 (Posts: 305; Member since: 12 Nov 2012)
Maybe this will lower atts roaming rates in Europe. . When i went to Spain i made the mistake of using my s3 while roaming on Vodafone. Came home to a $2,300 phone bill. -_-"
29. rvp10sucks (Posts: 5; Member since: 26 Mar 2013)
lol... would have been cheaper to get a return flight ...buy the most expensive unlocked phone there ... get an unlimited everything prepaid service for the time you were in spain... and still come home with lots of spare cash and an awesome phone
20. Whateverman (Posts: 3236; Member since: 17 May 2009)
Hey Alan F. I got a question for you. If Verizon is basically just buying the rest of VZW and AT&T gets all of the international operation, there is absolutely ZERO benefit to VZW customers right?
21. james1 (Posts: 97; Member since: 16 Mar 2013)
I don't think this us going to happen. Vodafone is way too big to be purchased and they are making a lot of money, more thats they can raise the money proposed by the purchase in a few years!!
23. TROLL (banned) (Posts: 4851; Member since: 13 Apr 2012)
But I thought Verizon was part of Vodafone☆
26. JohnnyBravo (Posts: 105; Member since: 02 Dec 2012)
I dont care so much for the deal as much as why in the bloody hell are ATT & Verizon working together!??!? These two are supposedly major competitors in the states.
Where are my European peeps? Thoughts on this deal? I am assuming you oppose? dont care?
28. ScelesticSteve (Posts: 26; Member since: 29 Mar 2012)
If AT&T won the bid, what would happen to Verizon Wireless in the US? Vodafone owns 45% of Verizon Wireless.
30. Sparhawk (Posts: 75; Member since: 10 Mar 2012)
Verizon has officially denied this report: