Having been around the telecommunications business since two cans and a string were a wireline system and a whistle and a shout comprised state-of-the-art wireless communications, I was more than a bit startled this week when I actually detected some degree of pragmatism in the way telecom players are approaching the realities of 21 st Century business.
British telecom giant Vodafone is taking a different approach to pay TV, reversing a trend by wireline providers to move their wares to wireless, by acquiring Germany's largest wireline pay TV company, Kabel Deutschland, and blending its operations into Vodafone's wireless business. Vodafone has tendered €7.7 billion ($10.11 billion) for the company that passes 15.3 million homes and will potentially help Vodafone's existing IPTV business via Deutschland Telekom.
Vodafone said it struck a deal to buy German cable operator Kabel Deutschland for €7.7 billion ($10.1 billion) in a deal that will enable the operator to pursue its multi-service ambitions in its most important European market.
Vodafone agreed to buy Kabel Deutschland for €7.7 billion ($10.1 billion) in a deal that will enable the operator to pursue its multi-service ambitions in its most important European market.
Just days after reports circulated that AT&T was eying a possible merger with Telefonica SA, there is new evidence that the company is talking with other potential acquisition candidates in Europe as well.
AT&T is scouring Europe for potential deals, according to multiple reports, adding steam to the rumors that the company is looking abroad for strategic opportunities after having been thwarted in its attempt to buy T-Mobile USA.
AT&T has been sounding out a number of options to buy European operators in recent months according to multiple reports, as rumours persist about the U.S. operator's interest in expanding in the region to offset limited opportunities for growth in its home market.
Vodafone has raised its preliminary offer for Kabel Deutschland in an effort to fend off a competing bid from Liberty Global, as the two companies look set to enter a bidding war for the German cable operator, according to multiple reports.
Telstra, Vodafone and Telecom New Zealand have put forward a tender for their proposed Tasman Global Access submarine cable linking New Zealand and Australia.
Vodafone has a bumpy history when it comes to acquisitions, with some expensive fallouts from large deals of the past. Renewed efforts to buy fixed and cable operators in Europe may fuel speculation even further (if that's still possible) that a sale of its Verizon Wireless stake is imminent, but the equation for Vodafone is far from simple.