AT&T to buy Vodafone in 2014?

AT&T to buy Vodafone in 2014?
A published report on Friday says that AT&T has already started working on a deal to buy Vodafone as early as next year. The companies have yet to start negotiating, but already AT&T has been trying to determine which assets of Vodafone it will keep and who would be interested in the rest of the company. AT&T is looking to spread American-style mobile broadband throughout Europe where it has not been rolled out as widespread as in the U.S.

An AT&T-Vodafone merger would create the world's largest mobile operator by revenue. The second largest mobile carrier in the states has been looking at Vodafone and earlier this year, tried to work out a three-way deal with Verizon. That deal would have seen AT&T purchase the European operations of Vodafone, and give the 45% of Verizon Wireless owned by Vodafone back to Verizon. America Movil would have taken the rest. This three way transaction is apparently off the table.

A deal between AT&T and Vodafone would give the surviving company 500 million subscribers, but will have to wait for the separate deal Vodafone has with Verizon to close. This will let Verizon buy back the 45% of Verizon Wireless owned by the European carrier. Once that is out of the way, AT&T will have to decide whether or not it wants to proceed with a bid. If it does gain control of Vodafone, AT&T could package the operator's emerging market assets in Africa and India into a bite-sized package ready to be purchased by China Mobile or America Movil. If a deal with Vodafone can't be worked out, AT&T is said to have a backup in mind with EE in the U.K. That operator was the first to offer LTE in the region.

Facing stiff competition at home, where T-Mobile has been the most innovative, AT&T is hoping that the mobile landscape is more fertile overseas.

source: Bloomberg

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13 Comments

1. D.Aceveda

Posts: 430; Member since: Jun 30, 2012

I wish instead of AT&T trying to buy other carriers, they'd fix their own network and stop lowering data caps

2. Shatter

Posts: 2036; Member since: May 29, 2013

Their data speed has gone to crap now that everyone has it your lucky to get above 10mbps where I live. When I had ATT I got 25-40mbps on LTE. I get up to 50 right now on tmobile because they don't have a network clog. Even when I have 3.5G and if someone I know is next to me with att LTE its slower and I would get 10-15mbps.

10. Omarc07

Posts: 574; Member since: Nov 12, 2012

well with you is the opposite over here in los angeles verizon speeds went down ALOT it used to get 25 to 40 now it gets less than 3 i had multiple phones same thing ,at&t and tmobile are the only ones to get more than 20 now i had to cancel verizon data was just not acceptable anymore sometimes less than 2 mbps with full bars lte standing outside unaceptable,now i have tmobile my personal phone and att for work couldnt be happier they both get more than 20.

11. nnjerzy

Posts: 126; Member since: Jun 19, 2013

I get 40 down LTE on TMOB before i left ATT i had 30 down LTE,, by far these 2 companies have the fastest LTE

3. Chapin

Posts: 8; Member since: May 24, 2012

Give us unlimited data again stop trying to buy another carriers, they have enough money to buy another company but not to fix their own problems with their costumers.

4. mousesports

Posts: 286; Member since: Feb 28, 2013

No way , AT&T is afraid to come EUROPE . SO .... Vodafone is a big company with a very huge profit ... for sure at&t cant buy

5. akbar

Posts: 62; Member since: Feb 09, 2012

Europe should be afraid of AT&T coming. When I read what is the state of US cell phone services, I definitely will not subscribe to American operator.

6. MrsPotatoHead

Posts: 48; Member since: Aug 18, 2013

That just don't make no sense. My honey have AT&T and they is just awful. Why would they go buy a compnay out in Europe if there compnay here in America aint good to begin with. I think Verizon did the smart thing by separating themselves from those Voda people. AT&T definitely won't be gettin my business.

7. Diazene

Posts: 129; Member since: May 01, 2013

AT&T buying a company that's much larger and operates in tens of countries?

9. a_merryman

Posts: 749; Member since: Dec 14, 2011

Vodaphone isn't much larger. It has a smaller market cap and revenues than AT&T currently. And they'll make even less money once VZW buys their stake back. I'm surprised AT&T doesn't want the whole of vodaphone, the developing economies is where they should focus I feel like, not the stagnant economies of europe where there is a dwindling population. A global telecom could provide for some interesting roaming deals though,a la t-mobile US...but with better data speeds overseas, so that might be cool

8. InspectorGadget80 unregistered

If AT&THE buys Vodafone they will screw up everyone's plans. And I thought Verizon owns Vodafone.

13. reckless562

Posts: 1153; Member since: Sep 09, 2013

did u even read the article?

12. reckless562

Posts: 1153; Member since: Sep 09, 2013

no mo at&t please

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