VodafoneThree is here: £16.5 billion merger kicks off a new era for UK connectivity
After nearly two years of navigating regulatory hurdles and managing industry speculation, Vodafone UK and Three UK have officially tied the knot. The £16.5 billion merger creates VodafoneThree, the UK’s largest mobile operator and biggest full-fibre broadband provider, complete with an upcoming £11 billion infrastructure project that will shake up the telecommunications sector.
The new entity isn’t just combining customer bases. It’s promising faster speeds, fewer dead zones, a customer-first approach, and a roadmap to blanket the UK in 5G Standalone (5G SA) coverage by 2034. And yes, there’s a space-based mobile network in the mix, too.
Meet the UK’s new mobile champion
VodafoneThree launches with 27 million mobile customers, leapfrogging EE (British Telecom’s mobile operator) to become the UK’s largest mobile operator. The company is also rolling out 5G SA, a fully independent network (not reliant on 4G), to power what it’s calling the UK’s first “nationwide, AI-ready mobile network”.
It’s ambitious: VodafoneThree is committed to hitting 90% population coverage with 5G SA by 2028, and 99.95% by 2034. Today’s coverage is only about 47%.
In the near term, customers can expect a 20% bump in 4G speeds and free roaming across Vodafone and Three’s European networks. This will reduce areas of limited or no coverage, also known as “not spots”, by 16,500 sq/km – an area 10 times the size of London!
Customers are already feeling the boost. Independent network benchmarking firm Opensignal says users are experiencing improved reliability and speeds. Three users have seen their download speeds improve by 8%. The Opensignal Reliability Experience scores are documenting double digit improvements for customers. And more improvements are in the works.
A broadband bonanza
In addition to the 5G mobile revolution, VodafoneThree is making a full-throttle push into broadband.
The merged company now offers fibre or fibre-like speeds to 22.5 million homes and businesses. That includes traditional fibre connections and Three’s Fixed Wireless Access (FWA) service. The latest deal with London-based Community Fibre adds a full-fibre broadband service to 1.3 million residences in London, cementing VodafoneThree as the capital city’s biggest full-fibre provider.
[W]e’ve built the biggest full-fibre footprint in the country,” says VodafoneThree CEO Max Taylor, who previously led Vodafone UK. “[It’s] all part of our commitment to bring fast, reliable broadband to as many households and businesses as possible.
“[W]e’ve built the biggest full-fibre footprint in the country,” says VodafoneThree CEO Max Taylor, who previously led Vodafone UK. “[It’s] all part of our commitment to bring fast, reliable broadband to as many households and businesses as possible.”
Internally, VodafoneThree is aiming to more than double its broadband customer base – from 2 million to 4.3 million over the next eight years – through aggressive cross-selling, infrastructure deals and brand consolidation.
Just Ask Once
VodafoneThree is also accelerating its customer services to better serve its booming customer base.
In July, VodafoneThree rolled out a new initiative dubbed “Just Ask Once”, which promises customers that if their issue is not resolved to their satisfaction, they can walk away from their contract with zero penalty.
The policy applies across mobile and broadband services and aims to set a new standard for the industry – one where lengthy call waits and unresolved issues are often the norm.
VodafoneThree is aiming to more than double its broadband customer base
Space tech to innovate to deliver coverage to hard-to-reach spots
VodafoneThree isn’t stopping at ground-level infrastructure.
In partnership with AST SpaceMobile, the company is trialling a satellite-powered mobile network that will allow users to connect in remote, signal-dead areas. Beta trials are slated for 2026, and if successful, the space-based service could eliminate remaining coverage gaps in hard-to-reach rural areas.
This isn’t just a sci-fi stunt. With its projects at the cutting edge of technology, VodafoneThree shows that future-proofing its network is mission-critical.
Building a better, faster and stronger UK
The merger is more than a reshuffle – it’s being touted as a pillar of UK digital growth. Of the £11 billion in planned infrastructure investment, £1.3 billion is expected to be spent this year alone. The company says the mega initiative will build the digital backbone for a more connected, productive UK.
The deal is expected to generate up to 13,000 jobs over the coming years, including jobs at new contact centres in Belfast and Sheffield. No retail redundancies are planned as part of the rollout.
What’s next?
On top of VodafoneThree’s already behemothic endeavours, other key developments include the following:
- Vodafone will be the lead brand for broadband and business customers, while Three, VOXI, SMARTY and Talkmobile will continue to serve the UK as lead mobile brands.
- VodafoneThree is rolling out a seven-day free eSIM trial in cities such as London, Sheffield, Belfast and Liverpool to show off its upgraded network.
- VodafoneThree has launched its first joint campaign since the merger titled “Two networks are better than one”, highlighting the benefits customers are already receiving from both brands, including more coverage, faster speeds and fewer “not spots”.
VodafoneThree isn’t just merging networks; it’s forging a new vision of what UK connectivity could look like. With its projects leading innovative telecommunications on the ground and in space, the telecoms giant is pioneering a fully connected, digital-first UK.