Vodafone stakes claim on Openreach

Vodafone has claimed that it is interested in acquiring part of BT’s Openreach network.


Vodafone has claimed that it is interested in acquiring part of BT’s Openreach network.

The mobile and broadband provider has expressed interest in the network in the event that BT are forced to sell it. 

Openreach has recently been put under fire from consumer watchdog Ofcom, with the firm claiming that it BT should be required to sell it for other providers to use.

These fears have been backed up by MPs, who have released a report looking at the current state of Openreach.

This report claims that 5.7 million of its customers were receiving less than the national standard speed of 10Mbps, with 3.5 million of these living in rural areas. 

The government has gone on to suggest BT and Openreach should be made to split in order to end the provider’s “natural monopoly” on the UK broadband market. 

Chief Executive of Vodafone, Vittorio Coloa, claimed that with Openreach, Vodafone could continue to grow in the broadband sector.

“We would be very happy to be an investor in an independent Openreach particularly since it makes a 28 per cent profit margin and has made £4 billion more than the regulator expected."

“Customers are increasingly recognising the quality of our networks, leading to strong growth in data usage and benefiting from the significant investments in 4G and fibre that we have made over the last two years."

Recently, Vodafone has expanded its broadband network in the UK.

The firm added 14,000 new customer is Q4 of 2015, bringing its total fixed broadband customer base to 89,000.

Source: USwitch 

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