The proposed merger will create Britain’s largest mobile phone operator with around 27 million customers but cut the number of mobile service providers from four to three.
Any reduction in the number of network operators would make it harder for Mobile Virtual Network Operators to secure competitive terms, restricting their ability to offer the best deals to retail customers. “We will now consider how Vodafone and Three might address our concerns about the likely impact of the merger on retail and wholesale customers while securing the potential longer-term benefits of the merger, including by guaranteeing future network investments,” CMA inquiry chair Stuart McIntosh said.
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