Vodafone and Orange Stun Their Customers: They Want to Know How It Will Affect Them

Vodafone and Orange plan to create a joint fiber optic company. This has left many of their customers wondering how this change will affect them. The intention of the two major operators is to bring in a third investor.

This way they would manage to turn this new company into the largest giant in the fiber sector in Europe. This business move has caused great excitement. This is demonstrated by the fact that ten non-binding offers have been received to participate in the new company.

Among the interested parties are important names such as GIC from Singapore, KKR from the United States, or Digital Bridge. In addition to other major firms like Brookfield, IFM Investors, OMERS, or EQT Infrastructure. We are still in the initial phase of receiving offers but this interest has made it clear that the new company is emerging as one of the most powerful.

The creation of this joint company not only implies a union of resources between Vodafone and Orange. Additionally, the future third investor will have a 40% stake in the company. Meanwhile, Orange will maintain control of the company with 50% while Vodafone will own the remaining 10%.

This structure has the potential to transform the telecommunications landscape in Europe by centralizing the fiber optic services of both operators.

How Will It Affect Vodafone and Orange Customers?

One of the main questions customers have is whether these changes will affect their fiber services and their experience with the operators. Despite the great relevance of the operation, it doesn't seem that there will be immediate changes in the services that users currently receive.

The business structure that will be created will focus mainly on the management of the fiber infrastructure. This means that, in principle, customers will continue to enjoy the same quality and coverage as always.

However, the situation could change in the long term depending on how the joint company evolves. The initial intention is not to modify the tariff plans or the conditions of the users' contracts. But there is always the possibility that adjustments may arise as changes in the operation are implemented.

Additionally, the entry of a third investor could bring new offers and improvements in the fiber infrastructure. This could benefit the users of both companies as resources are optimized.

Operation Expectations

Forecasts indicate that the operation will be finalized by the end of the first half of this year. Over this time, doubts about how the joint company will impact both the sector and the users will be cleared up. For now, there are no indications that Vodafone and Orange customers will experience significant changes in their services although.