& cplSiteName &

Euronews: AT&T Nixes Vodafone Bid Plan

Paul Rainford
1/27/2014
50%
50%

Also in today's EMEA roundup: Liberty Global to buy Ziggo; Ericsson, Samsung agree patents peace deal; SFR, Bouygues close to network-sharing alliance.

  • It looks like Vodafone Group plc (NYSE: VOD) will be staying in British hands, at least for the next six months, as AT&T Inc. (NYSE: T) has announced that it has no current plans to put in a bid for the Newbury, UK-based group. As Bloomberg reports, the AT&T announcement sent Vodafone's shares southwards by 4.9% in early Monday trading, its biggest drop in five years. Meanwhile, adds Bloomberg, Vodafone has designs on ONO , the Spanish cable operator that has just announced plans for an IPO. (See Euronews: Spain's ONO Mulls IPO.)

  • Here's one US incursion into European territory that is going ahead: Liberty Global Inc. (Nasdaq: LBTY), the US cable giant, has agreed takeover terms with Dutch cable operator Ziggo B.V. . If all goes to plan, Liberty Global will pay €10.0 billion (US$13.7 billion) in stock and cash for Ziggo, giving it control of the accounts of 7 million Dutch cable subscribers. The deal is expected to close in the second half of 2014. (See Liberty Global to Buy Ziggo for €10B and Euronews: Liberty Global Back in Takeover Talks With Ziggo.)

  • Ericsson AB (Nasdaq: ERIC) has reached an agreement with Samsung Corp. on patents, which will see ongoing royalty payments from Samsung to Ericsson. The details of the deal are confidential, but Ericsson says in a statement that the initial payment in the agreement will boost Ericsson's sales and earnings in the fourth quarter of 2013 by 4.2 billion Swedish kroner ($652 million) and SEK3.3 billion ($512 million) respectively. Back in 2011 Ericsson sued Samsung over its refusal to renew a patent license agreement on so-called FRAND (fair, reasonable and non-discriminatory) terms, following two years of negotiations. (See Euronews: Ericsson Sets Lawyers on Samsung and Euronews: Ericsson Eyes Patents Cash Cow.)

  • French mobile operators SFR and Bouygues Telecom are nearing a deal on network sharing, according to this Reuters report. The pair are looking to cut costs in the face of fierce competition from cut-price upstart Free Mobile . (See Free Disrupts French Mobile Market.)

  • London's Imperial College is to collaborate with Huawei Technologies Co. Ltd. on a laboratory that will focus on potential "big data" applications. The Chinese giant will be forking out for new equipment, providing a research fund, and covering operational costs. (See Huawei & Imperial College to Open Big Data Lab.)

    — Paul Rainford, Assistant Editor, Europe, Light Reading

    (7)  | 
    Comment  | 
    Print  | 
  • Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
    RitchBlasi
    50%
    50%
    RitchBlasi,
    User Rank: Light Sabre
    1/27/2014 | 1:35:41 PM
    AT&T or Huawei?
    Guess we now have "the" American company feeling like Huawei?  Ain't biz as usual that's for sure.
    DanJones
    50%
    50%
    DanJones,
    User Rank: Blogger
    1/27/2014 | 1:00:32 PM
    Re: Wonder if NSA story is hindering AT&T's traction?
    Good to know, thanks.
    brookseven
    50%
    50%
    brookseven,
    User Rank: Light Sabre
    1/27/2014 | 12:55:39 PM
    Re: Wonder if NSA story is hindering AT&T's traction?
    I can tell you for a point of fact that we had to have data centers outside the US to do any significant business in Europe.  

    Our customers wanted to know that their good mail would in no case would ever enter the US.

    This was BEFORE all this latest NSA stuff.

    seven

     
    DanJones
    50%
    50%
    DanJones,
    User Rank: Blogger
    1/27/2014 | 12:22:30 PM
    Re: Wonder if NSA story is hindering AT&T's traction?
    Yeah, sounds like something to keep an eye on.
    KBode
    50%
    50%
    KBode,
    User Rank: Light Sabre
    1/27/2014 | 12:20:06 PM
    Re: Wonder if NSA story is hindering AT&T's traction?
    This Wall Street Journal story seems to suggest as much:

    "At a dinner Tuesday night during the annual gathering of top executives and political figures in the Swiss resort town, Mr. Stephenson asked Commissioner Neelie Kroes how revelations of data-gathering programs conducted by the National Security Agency would affect the ability of companies like AT&T to do business in Europe, people familiar with the conversation said.

    There was no discussion of specific deals or targets for AT&T, the people said, although Mr. Stephenson did generally reiterate his interest in broadening investment and operations in Europe.

    Ms. Kroes replied that U.S. companies, like AT&T, face a trust problem in Europe as a result of the spying disclosures and it is in the interests of all the parties to get that resolved. The scandal is likely to be a live issue as the continent gears up for EU-wide European Parliament elections in May."

    My assumption is they try again in six months after the elections are done and the political posturing settles down.

    DanJones
    50%
    50%
    DanJones,
    User Rank: Blogger
    1/27/2014 | 11:59:52 AM
    Re: Wonder if NSA story is hindering AT&T's traction?
    Interesting thought...
    KBode
    50%
    50%
    KBode,
    User Rank: Light Sabre
    1/27/2014 | 9:13:24 AM
    Wonder if NSA story is hindering AT&T's traction?
    Bloomberg oddly omits this, but I'd seen previous reports suggesting that European regulators aren't exactly thrilled with AT&T's very close ties to the NSA, and that could hamper any Vodafone acquisition. This move appears to only delay any necessary AT&T decision six months, so perhaps AT&T hopes to try later when the outrage over the Snowden leaks has faded slightly?
    Featured Video
    From The Founder
    The 'gleaming city on a hill,' Steve Saunders calls it. But who is going to take us from today's NFV componentry to the grand future of a self-driving network? Here's a look at the vendors hoping to make it happen.
    Flash Poll
    Upcoming Live Events
    September 28, 2017, Denver, CO
    October 18, 2017, Colorado Convention Center - Denver, CO
    November 1, 2017, The Royal Garden Hotel
    November 1, 2017, The Montcalm Marble Arch
    November 2, 2017, 8 Northumberland Avenue, London, UK
    November 2, 2017, 8 Northumberland Avenue – London
    November 10, 2017, The Westin Times Square, New York, NY
    November 30, 2017, The Westin Times Square
    All Upcoming Live Events
    Infographics
    With the mobile ecosystem becoming increasingly vulnerable to security threats, AdaptiveMobile has laid out some of the key considerations for the wireless community.
    Hot Topics
    Could 5G Have Found Its Glass Ceiling?
    Dan Jones, Mobile Editor, 9/20/2017
    1 Million Pirate Set-Top Boxes Sold in the UK
    Aditya Kishore, Practice Leader, Video Transformation, Telco Transformation, 9/20/2017
    Comcast Shuts Down OTT Again
    Mari Silbey, Senior Editor, Cable/Video, 9/19/2017
    Why Amazon May Be Cable's Biggest Threat
    Mari Silbey, Senior Editor, Cable/Video, 9/22/2017
    Photo Highlights: Operations Transformation Forum 2017
    Ray Le Maistre, International Group Editor, 9/17/2017
    Animals with Phones
    Live Digital Audio

    Understanding the full experience of women in technology requires starting at the collegiate level (or sooner) and studying the technologies women are involved with, company cultures they're part of and personal experiences of individuals.

    During this WiC radio show, we will talk with Nicole Engelbert, the director of Research & Analysis for Ovum Technology and a 23-year telecom industry veteran, about her experiences and perspectives on women in tech. Engelbert covers infrastructure, applications and industries for Ovum, but she is also involved in the research firm's higher education team and has helped colleges and universities globally leverage technology as a strategy for improving recruitment, retention and graduation performance.

    She will share her unique insight into the collegiate level, where women pursuing engineering and STEM-related degrees is dwindling. Engelbert will also reveal new, original Ovum research on the topics of artificial intelligence, the Internet of Things, security and augmented reality, as well as discuss what each of those technologies might mean for women in our field. As always, we'll also leave plenty of time to answer all your questions live on the air and chat board.

    Like Us on Facebook
    Twitter Feed