Broadband

Virgin Media O2 Boosts Network with Vodafone Spectrum Deal

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Virgin Media O2 has taken a significant step in bolstering its network capabilities by acquiring 78.8 MHz of spectrum from Vodafone UK for £343 million. This strategic acquisition is poised to enhance connectivity for both consumers and businesses across the UK. The transaction aims to balance the spectrum holdings among three major mobile network operators in the country, pending Ofcom approval.

The acquired spectrum includes 20 MHz of 1400 MHz Supplemental Downlink, 18.8 MHz of 2100 MHz Frequency Division Duplex, and both 20 MHz of 2600 MHz and 3400 MHz Time Division Duplex. This acquisition is a part of a broader long-term network sharing agreement with Vodafone, which began in July 2024. Following Vodafone’s merger with Three UK, the new entity will now participate in this collaborative arrangement.

This spectrum boost is incremental to Virgin Media O2’s extensive investment of over £2 billion in network infrastructure and services. This move promises to enhance mobile coverage, deliver superior service quality, and benefit businesses, including MVNOs using Virgin Media O2’s network for their mobile services.

Such spectrum realignment addresses previous disparities between mobile network operators and fosters a more competitive environment. Customers can expect improved capacity, faster speeds, and broader coverage from Virgin Media O2. Part of the funding for this acquisition comes from a minority stake sale in Cornerstone in 2024. Spectrum payments will continue beyond 2025, with deployment starting shortly.

Lutz Schüler, CEO of Virgin Media O2, expressed enthusiasm: “This acquisition of spectrum will not only 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.” He emphasized the company’s commitment to providing a reliable mobile experience across the nation.

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