Telecom Italia confirmed plans to cut about 1,700 jobs and delay a scheme that would have seen the Italian operator hire up to 4,000 young people under a government proposal.
Telecom Italia has now rebranded its fixed, mobile and Internet services under the TIM brand on the 20th anniversary since the erstwhile mobile-only brand was first launched.
Telecom Italia shareholder Generali sold the bulk of its stake in the operator on the open market around the time that French media group Vivendi confirmed it would become the former incumbent's largest shareholder in place of Telefónica.
France-based Vivendi became the largest shareholder in Telecom Italia after purchasing a total stake of 14.9 per cent, replacing long-term investor Telefónica.
Vivendi geared up to cement its position as Telecom Italia's leading shareholder with a plan to increase its holding to 14.9 per cent that could be executed in the next two days.
Telefónica finally completed the 100 per cent acquisition of fixed-line operator GVT from Vivendi, saying it has now become the largest integrated telecommunications company in Brazil in terms of both revenue and customers with over 105 million subscriptions.
Telecom Italia reportedly plans to raise €960 million ($1.1 billion) from the sale of a 40 per cent stake in its mobile tower unit via an initial public offering (IPO), increasing the targeted amount from around €730 million.
Telefónica said it is beginning a 'new journey in the Brazilian market" after receiving approval from Brazil's antitrust authority, Cade, to acquire fixed-line operator Global Village Telecom (GVT) from Vivendi.
Telecom Italia turned an annual profit for the first time in three years, posting a consolidated net profit of €1.35 billion ($1.44 billion) in 2014 compared to a loss of €674 million in 2013.
Telefônica reached a preliminary agreement with Brazilian competition watchdog Cade over its planned acquisition of local fixed operator GVT, after telecoms regulator Anatel cleared the deal in December.