Liberty Global's Virgin Media O2 Acquires Spectrum from Vodafone UK for GBP343 Million

Liberty Global's Virgin Media O2 has acquired 78.8 megahertz of spectrum from Vodafone UK for £343 million. This brings Virgin Media O2's total mobile spectrum share to about 30%. The deal, subject to Office of Communications approval, will be partially funded by the sale of a minority stake in Cornerstone in 2024. Deployment is to occur over the medium term, starting this year. The acquisition creates greater balance across UK mobile networks and boosts Virgin coverage and network quality.

Liberty Global's Virgin Media O2 has announced the acquisition of 78.8 MHz of spectrum from Vodafone UK for £343 million. This deal, subject to approval from the Office of Communications (Ofcom), brings Virgin Media O2's total mobile spectrum share to approximately 30% [1][2][3][4].

The spectrum acquisition is part of a broader agreement struck between Virgin Media O2 and Vodafone UK in July 2024, which includes a network sharing deal for the next decade. The completion of this deal follows the merger between Vodafone UK and Three UK [1][2][3].

The spectrum, which includes 20 MHz of 1400 MHz supplemental downlink, 18.8 MHz of 2100 MHz frequency division duplex, 20 MHz of 2600 MHz time division duplex, and 20 MHz of 3400 MHz time division duplex, will be partially funded by the proceeds from the minority stake sale in Cornerstone in 2024 [1][2][3].

Virgin Media O2's CEO, Lutz Schüler, stated that this acquisition will "create greater balance in holdings across the UK’s mobile networks, but for Virgin Media O2 it will allow us to boost coverage and further improve our network quality, building on the significant investment we are already making in our mobile network. We’re committed to giving our customers a reliable mobile experience across the country, and this increase in spectrum will help us deliver on that" [1][2][3].

The deployment of the spectrum will occur over the medium term, starting this year, and will help reduce previous imbalances in spectrum holdings among mobile network operators in the UK, enhancing competition and allowing Virgin Media O2 to provide increased capacity, speeds, and greater coverage for its customers [1][2][3].

References:
[1] https://news.virginmediao2.co.uk/virgin-media-o2-to-boost-its-mobile-network-through-spectrum-acquisition-deal/
[2] https://www.datacenterdynamics.com/en/news/virgin-media-o2-strikes-343m-vodafone-spectrum-deal/
[3] https://www.libertyglobal.com/virgin-media-o2-to-boost-its-mobile-network-through-spectrum-acquisition-deal/
[4] https://www.investing.com/news/stock-market-news/virgin-media-o2-buys-spectrum-from-vodafone-uk-for-343-million-93CH-4116928