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Hutchison takes legal action against EU over failed O2 & Three merger
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Everything Goes
29-07-2016
Hutchison who own Three are taking legal action against the EU over the blocking Three and O2's merger. This may be aimed at the ambitions for further mergers in the EU especially Italy.

Quote:
“Victory in court would be unlikely to revive the UK tie-up, as the agreement between Hutchison and O2's owner Telefonica has lapsed. The Spanish giant is now working toward floating a minority stake in O2.

However, Hutchison could seek compensation and seek to set a precedent for further consolidation of the European mobile market. It is in the midst of a takeover in Italy, for instance, and needs EU approval.”

http://www.telegraph.co.uk/business/...three-o2-merg/
Gigabit
29-07-2016
Thank Goodness this was disallowed.

I was having a chat with a source who shall rename unidentified. They said it was blocked due to BT's political lobbying! No, it was blocked because it was terrible for the consumer!
errea
30-07-2016
Blocking it was bad for the consumer.

It would have made a decent network out of O2/3 and given a solid platform for MVNO access from Tesco, Sky, iD and more. Plus it would have been genuine competition to godawful BT (EE).

Originally Posted by Gigabit:
“Thank Goodness this was disallowed.

I was having a chat with a source who shall rename unidentified. They said it was blocked due to BT's political lobbying! No, it was blocked because it was terrible for the consumer!”

red_snow
30-07-2016
Originally Posted by errea:
“Blocking it was bad for the consumer.

It would have made a decent network out of O2/3 and given a solid platform for MVNO access from Tesco, Sky, iD and more. Plus it would have been genuine competition to godawful BT (EE).”

Couldn't agree more
Denco1
30-07-2016
The combined network assets could have made a decent network, with the right management.

But is anyone really confident Hutchison would have delivered that, especially with the way they've been running Three at the moment.
clewsy
30-07-2016
Originally Posted by Gigabit:
“Thank Goodness this was disallowed.

I was having a chat with a source who shall rename unidentified. They said it was blocked due to BT's political lobbying! No, it was blocked because it was terrible for the consumer!”

Bang on. The best decision the EU made.
Gigabit
30-07-2016
Creating a monopoly provider doesn't create competition.
Stereo Steve
30-07-2016
Originally Posted by Gigabit:
“Creating a monopoly provider doesn't create competition.”

Enough competition already. The EU has done done what it does best. Left us with 2, hamstrung, shit networks. Consumers rejoice.
clewsy
30-07-2016
No left us with 4 networks and they should all be competing for your business and as such lowering prices, increasing coverage and creating more jobs.

It's not for a merger to solve a poorly managed business. If they have planned spectrum poorly, that is their management to sort out and decide a strategy to manage.
jchamier
30-07-2016
Originally Posted by Stereo Steve:
“Enough competition already. The EU has done done what it does best. Left us with 2, hamstrung, shit networks. Consumers rejoice.”

Yeah VO2 don't care about the south west. Voda works well here and in Bristol, but on M4 there are still patches of GPRS only. EE is at least 3G and 4G in most places now, and Three is similar. VO2 have a long way to go.
d123
30-07-2016
Originally Posted by Gigabit:
“Thank Goodness this was disallowed.

I was having a chat with a source who shall rename unidentified. They said it was blocked due to BT's political lobbying! No, it was blocked because it was terrible for the consumer!”

Well said.

Let's hope CK Hutch get a bloody nose from the ECJ as well.
plymouthbloke1974
30-07-2016
Originally Posted by Stereo Steve:
“Enough competition already. The EU has done done what it does best. Left us with 2, hamstrung, shit networks. Consumers rejoice.”

Hmmm... I suppose you'll say the same thing in a few years when EE, already the biggest network for combined coverage goes to 99.9% 4G coverage and over 95% geographical coverage?
lightspeed2398
30-07-2016
Originally Posted by Stereo Steve:
“Enough competition already. The EU has done done what it does best. Left us with 2, hamstrung, shit networks. Consumers rejoice.”

I agree Three is hamstrung and a bit shit but o2 in fairness despite the financial problems does seem to be doing its best to get to its coverage obligation, They have big capacity issues but they're dealing with them in a reasonably good way for now.
lightspeed2398
30-07-2016
For the Three o2 merger I don't think it'd be good in the short-medium term competition wise. Those two networks would put themselves out of the game whilst they reshuffle management and merge two pretty dissimilar networks. Orange and T-Mobile were fairly alike technology wise and look how long that's taken. Long term I think they'd be ok but by the time they've got the aforementioned done where would the others be. Plus that's assuming there would be no conditions on the merger and that's not likely. If they have to sell spectrum or certain assets it'll take longer and put them in a worse off position in the long term. Plus it'll certainly mean an end to Three's general lower pricing structure and attempts to be innovative to get market share.
jchamier
30-07-2016
Originally Posted by plymouthbloke1974:
“Hmmm... I suppose you'll say the same thing in a few years when EE, already the biggest network for combined coverage goes to 99.9% 4G coverage and over 95% geographical coverage?”

I think Steve likes EE and Three, its the lack of change from VO2 he's concerned about.
errea
31-07-2016
You have a dog in the fight?


Originally Posted by d123:
“Well said.

Let's hope CK Hutch get a bloody nose from the ECJ as well.”

Everything Goes
31-07-2016
Originally Posted by lightspeed2398:
“I agree Three is hamstrung and a bit shit but o2 in fairness despite the financial problems does seem to be doing its best to get to its coverage obligation, They have big capacity issues but they're dealing with them in a reasonably good way for now.”

I suspect O2 will struggle to meet its coverage obligation by the end of 2017.


http://forums.digitalspy.co.uk/showthread.php?t=1937180
d123
31-07-2016
Originally Posted by errea:
“You have a dog in the fight?”

I just dislike the arrogant attitude shown by CKH, they deserve to lose...
Thine Wonk
31-07-2016
Really? We hadn't noticed.
Stereo Steve
31-07-2016
Originally Posted by plymouthbloke1974:
“Hmmm... I suppose you'll say the same thing in a few years when EE, already the biggest network for combined coverage goes to 99.9% 4G coverage and over 95% geographical coverage?”

Not at all. It's just they will have no competition. 3 and O2 are not well placed to compete due to lack of spectrum and the only one who can, VOD, are refusing to bother, repeating their 3G failure and doing cities and motorways.

Being able to roam between 3 and O2 would make quite a decent network. That is all.
Gigabit
31-07-2016
Yes but then what do Vodafone do? They all have the ability to improve their networks.

You say Vodafone aren't trying. It doesn't look like Three or O2 are trying either. A merger is a lazy way to enhance coverage without doing anything.
Pencil
31-07-2016
The EU may be a German-led, over-paid, bloated, highly corrupt and anti-democratic bureaucracy, hell bent on continental domination, but on this occasion, they did the consumer a favour.
Thine Wonk
31-07-2016
In blocking a relatively small network and another network from merging to build a network with enough capacity for years to come who are able to compete effectively again the massive (2nd largest in the world) Vodafone and the giant (incumbent, former state) BT who is already massively dominant in multiple markets.

Yeah, if course they did, thank goodness they blocked it otherwise consumers would have faced big price rises through ineffective competition.

Oh wait...

http://www.moneysavingexpert.com/new...odge-the-hikes


http://forums.digitalspy.co.uk/showthread.php?t=2169399
Tassium
31-07-2016
The shape of things to come if that TTIP thing ever got implemented.
jchamier
31-07-2016
Originally Posted by Thine Wonk:
“In blocking a relatively small network and another network from merging to build a network with enough capacity for years to come who are able to compete effectively again the massive (2nd largest in the world) Vodafone and the giant (incumbent, former state) BT who is already massively dominant in multiple markets.”

Hutchison 3G and Telefonica UK (trading as O2) could have bought sufficient spectrum from Ofcom at the auction - at the time EE was nothing to do with BT. Vodafone and EE bought a lot of spectrum. Three prefer to complain but its their customers whom have poor experience.

The Orange PAYG price rises don't surprise me, what does is that the EE PAYG are not rising as well - this makes me wonder if Orange (France) want more money in brand fees from BT Group ?

Vodafone Group have just realised how much money they need to put into the UK network, more than the Group had realised, after previous execs like Chris Gent had run it into the ground.
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