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EU: AT&T merger could send international shockwaves

 |  January 19, 2014

As speculation mounts as to whether US wireless giant AT&T will pursue a major merger-and-acquisition plan in the EU, reports say such a deal could send shockwaves internationally, forcing onetime state-run telco monopolies to pursue their own mergers.

AT&T is reportedly considering a buyout of UK-based Vodafone and, according to analysts, it’s a deal that would pressure Germany’s Deutsche Telekom and France’s Orange to strike a similar merger. The two groups currently run a UK joint venture called Everything Everywhere, but may need to secure their ties to compete with foreign competition entering the EU, reports say.

Mexico’s America Movil and Japan’s SoftBank are also reportedly eying EU markets .

AT&T rival Verizon Communications agreed to acquire Vodafone’s 45 percent in Verizon Communications last September, a transaction that reports say could likely inspire AT&T to acquire Vodafone.

Full Content: Investors Business Daily

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