Vodafone and Three's £15bn merger will harm competition, says Virgin Media O2 boss [Yahoo! Finance]
CK HUTCH HLD LTD UNSP/ADR (CKHUY)
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Source: Yahoo! Finance
Lutz Schüler warned the tie-up would hand the combined company too much control of valuable radio spectrum used to operate mobile networks. He said: “We understand the industry logic [for the merger] and need to support economies of scale. “But we could not support our customers if the deal goes ahead without an agreement on spectrum and network sharing.” VMO2 warned that the merged companies' stranglehold over spectrum would lead to worse connections on rival networks and ultimately harm consumers. Mobile spectrum relates to the various radio frequencies allocated to mobile operators and other communications businesses. Usage is regulated by Ofcom. Spectrum is expected to be a key bone of contention among rival operators ahead of the planned Vodafone-Three merger, which would create the UK's largest mobile network with 27 million customers. The combined company would hold almost 50pc of all mobile spectrum and just under 60pc of C-band frequencies, a valuable portion of
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