Smartphone and Tablet Emporium

Tuesday, April 26, 2016

Will Three's Planned Merger with 02 Finally Happen?

The saga continues with Three’s planned merger with O2. The Competition and Markers Authority (CMA) in the UK has said this week that it has “serious concerns” over the merger, and has made the European Commission aware. There’s always been a hesitance over this merger of the two operators, particularly since BT acquired EE last year. The O2/Three deal would leave the UK mobile market with just three large operators (the other being Vodafone), a move that Ofcom and the EC are debating would leave it with a lack of competition. This is worrying as there are fears the market might stagnate and potentially set consumer prices high. Now that the CMA has waded in, things look a tad bleak for CK Hutchison, Three’s parent company. In wanting to combine Three and O2 it would make the entity the UK’s largest operator, but the EC has until 19 May to decide if it will allow the deal to go ahead. Three still wants to buy 02, but Ofcom's CEO Helen White isn't happy - so much so, she recently openly expressed her misgivings in The Financial Times' letters page ahead of a preliminary ruling from the European Commission. We look at how the deal, which would make Three the UK's largest mobile network, could affect consumers. After all the press and hype will this merger finally take place? Share your predictions with the Smartphone and Tablet Zone: http://smartphoneandtabletzone.blogspot.com/

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