UK government conditionally approves £15bn Vodafone–Three merger 

News

The merger is under ongoing investigation from the Competition and Markets Authority 

The UK government has this week released a “Publication of notice of Final Order” that provisionally approves the Vodafone–Three merger, subject to certain conditions. 

Following a “detailed national security assessment”, the cabinet office has approved the merger, providing that: 

– A National Security Committee is set up within the merged company to oversee any sensitive information that the company deals with that is related to the national security of the UK. It will be necessary for the company to provide regular updates to the government; 

– Within this group, a specific technical group is established that will deal with a specific list of topics (such as cyber, physical, and personnel security); 

– The MergeCo’s network migration planning is subject to review by a government approved external auditor;  

– The MergeCo will have specified arrangements for its governance. 

The government said in this statement that the above measures will mitigate national security risks in relation to UK networks and data “resulting from the merging of two large, complex organisations and their respective staffing, policies, processes and networks.” The government also says these measures will eliminate risks in relation to Vodafone’s role as a supplier of services to the government. 

“We strongly believe (the merger) will strengthen competition in the UK’s mobile sector and enable a significant step-up in the UK’s mobile network infrastructure,” said the two companies in a joint statement. 

The investigation by the Competition and Markets Authority (CMA) is separate and still ongoing. The investigation began its second phase last month, with results expected by September. 

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Also in the news:
Verizon Business and Cummins deal combines private 5G and neutral host tech
Samsung and Telefonica partner for German vRAN site
AT&T sheds cybersecurity division to create LevelBlue 

Nokia and Vodafone trial Open RAN with Arm and HPE

Press Release

Nokia and Vodafone have announced the successful completion of a trial, leveraging Nokia’s anyRAN approach in collaboration with partners Arm and Hewlett Packard Enterprise (HPE). The live demonstration, held at Nokia’s Open RAN Innovation Center in Dallas, Texas, showcased the completion of an end-to-end Layer 3 (L3) data call.

To achieve this milestone, the test platform utilized leading technologies including Ampere® Arm-based general-purpose processors, the HPE ProLiant RL300 server, Nokia’s Layer 1 (L1) accelerator, and Nokia’s RAN software. To complement the 5G Standalone (SA) RAN architecture, Nokia integrated its 5G SA Compact Mobility Unit (CMU) Core.

The trial took place over-the-air with Nokia’s AirScale massive MIMO radios on the n78 spectrum band (3.5 GHz band). Additionally, Nokia’s intelligent MantaRay NM network management system provided a consolidated network view for improved monitoring and management.

During the demonstration, the data calls were successfully conducted using commercial user devices. The trial shows that the introduction of Arm Neoverse™-based processors on HPE servers within the Nokia anyRAN approach will provide operators, including Vodafone, with enhanced supplier diversity and efficiency advantages of the latest silicon technology.

Francisco Martin, Head of Open RAN at Vodafone, said: “Vodafone is dedicated to supporting the development and adoption of Open RAN platforms by fostering a diverse ecosystem of silicon solutions. The approach offers numerous benefits, including increased choice, enhanced energy efficiency, higher network capacity, and improved performance in wireless networks. We are excited to collaborate with Nokia, Arm, and HPE in this live demonstration, and the initial results have been promising, paving the way for future commercialization.”

Mark Atkinson, Head of RAN at Nokia, said: “Achieving future computing evolution requires a flexible approach to RAN deployments, allowing freedom of choice in server hardware, general-purpose processors and cloud platforms. This trial not only builds upon past accomplishments but also solidifies Nokia’s leadership in Open RAN innovation. It is another testament to the openness of Nokia’s anyRAN approach, ensuring consistent performance of Open RAN while empowering operators with more options to build their networks.”

Keep up to date with all the latest telecoms news from around the world with Total Telecom’s daily newsletter

Also in the news:
T-Mobile and EQT form JV to buy Lumos
Korean Air shows off comprehensive urban air mobility system backed by 5G
Virgin Media O2 reaches plastic waste milestone

Nokia and Alcon partner to deploy private network for lithium mining 

 

News

The deployment will allow for increased operational efficiency in lithium mining plants in the Americas 

Nokia has announced today that it has been chosen to provide a private LTE campus network to Canada-based lithium mining specialist Sigma Lithium, in with broadband provider Alcon. 

Sigma’s LTE network will be deployed in a mining site in Brazil and will be the first of its kind in the Americas, according to Nokia. 

The network will support 200 employees and add different mining applications to the plant that will increase productivity and operational efficiency.  

Lithium is vital to the production of electric vehicle batteries,, which Sigma Lithium says makes sustainable mining all the more important. The company aims to “bring more environmentally sustainable lithium concentrate to the global EV supply chain,” according to the website. 

“Dedicated, mission-critical connectivity connecting industrial devices and applications is at the heart of revolutionizing the way the mining sector operates – keeping employees safe and enabling high-performance operations that deliver results,” said David de Lancelloti, Vice President Enterprise Campus Edge Business at Nokia in a press release. 

The company has also stated that it has deployed ‘mission critical networks’ to over 2,600 businesses customers across various industries. 

Keep up to date with the latest international telecoms news by subscribing to the Total Telecom daily newsletter 

Also in the news:
Verizon Business and Cummins deal combines private 5G and neutral host tech
Samsung and Telefonica partner for German vRAN site
AT&T sheds cybersecurity division to create LevelBlue

Currency devaluation woes see Airtel Africa book a loss

News

Devaluation of the Nigerian Naira and Malawian Kwacha has seen the company post a loss of $89 million after tax, despite a major uptick in subscribers

This week, pan-African telecoms group Airtel Africa has reported its end of year results, with the company making a loss of the back of ongoing currency devaluation issues.

The results showed a revenue decline of 5.3% to $4.98 billion from $5.26 billion the previous year.

EBITDA similarly shrank by 5.7%, falling to $2.43 billion from $2.58 billion.

Ultimately, this saw Airtel Africa swing from a profitability last year to making a loss this year, recording a loss after tax of $89 million.

Unsurprisingly, the largest factor in these punishing results was the devaluation of currency in the key markets of Nigeria and Malawi. The devaluation of the Nigerian naira, for example, accounted for a loss of $549 million.

It should be noted, however, that these financial results belie a rapidly growing customer base, which increased by 9% to 152.7 million this year. Customer data usage also increased by 20.8% year-on-year.

According to Airtel, the company’s EBITDA would, in fact, have risen by 21.3% off the back of this growth, had the currencies remained stable.

Airtel Africa’s Chief Executive Officer, Segun Ogunsanya, remained positive about the company’s strategy.

“The consistent deployment of our ‘Win with’ strategy supported the acceleration in constant currency revenue growth over the recent quarters which have reduced the impact of currency headwinds faced across most of our markets,” he said.

“This strong revenue performance is a reflection not only of the opportunity that is inherent across our markets but also the resilience of our affordable offerings despite the inflationary pressure many of our customers have experienced.”

Keep up to date with all the latest telecoms news from around the world with Total Telecom’s daily newsletter

Also in the news:
T-Mobile and EQT form JV to buy Lumos
Korean Air shows off comprehensive urban air mobility system backed by 5G
Virgin Media O2 reaches plastic waste milestone

Government Security Review Clears Vodafone and Three UK Merger

The Government has concluded its national security probe of the proposed mobile mega-merger between Vodafone and Three UK (CK Hutchison) – conducted under the National Security and Investment Act 2021 – and decided to approve the deal, albeit with some relatively minor caveats.

The issue of national security is one that has come up a few times before, with some MPs being particularly concerned about CKH’s perceived ties to China and any potential risks of access to sensitive national infrastructure or government contracts (here). The concerns are relevant because the government has been trying to avoid scenarios in which countries like China secure key positions in critical national infrastructure, such as telecoms.

NOTE: The merger, if approved, would see Vodafone retain a 51% slice of the business and CK Hutchison (Three UK) hold 49%. But there’s talk of diluting the Chinese share over time.

On the flip side, CKH may well point out that they already control some UK ports and power networks, although telecoms is generally considered to be a much more sensitive topic. All of this will have been considered under the recent review. But as widely expected, the government has now concluded this process and approved the merger.

However, the Secretary of State has required the parties to introduce several measures in order to “mitigate any risks to national security“, which we’ve summarised below.

Conditions of the Gov’s NSIA Approval

➤ Establish a National Security Committee within MergeCo to oversee sensitive work that Vodafone and Mergeco undertake which has an impact on or is in respect of the national security of the United Kingdom. This committee will be required to provide regular updates and information to HM Government;

➤ Establish a technical group within the National Security Committee which will monitor a specified list of topics relating to cyber, physical and personnel security. This committee will be required to provide regular updates and information to HM Government;

➤ Ensure that MergeCo’s network migration planning is subject to review by an external, Government-approved auditor; and

➤ Put in place specified arrangements for the governance of MergeCo.

The outcome is largely what we predicted it would be in February 2024 (here) and won’t pose any further impediment to the deal’s progress. But this will also have no impact on the main event – the ongoing investigation by the Competition and Markets Authority (CMA), which has already signalled significant competition concerns and questioned the data provided by both operators (here).

Getting the deal past the CMA seems likely to result in a requirement for significant concessions, which may or may not be palatable enough for the merger to proceed – assuming they don’t block it outright.

Cornerstone to Build New 5G Neutral Host Network via UK Street Lights

Mobile infrastructure firm Cornerstone, which handles the UK network sharing agreement between O2 (VMO2) and Vodafone (Vantage Towers), has today joined forces with Signify in a new partnership that aims to put luminaire technology into lamp heads on street lights in order to build a new Outdoor 5G and IoT Neutral Host platform in urban areas.

The ideal of putting 4G/5G mobile and Internet of Things (IoT) kit and sensors on top of street lights or lamp posts is of course nothing new. Small cells are often deployed in this way around some dense urban areas, assuming an operator can secure the necessary concession agreement from a local authority.

NOTE: Cornerstone manages a UK estate of 15,500 sites (masts, rooftops, small cells etc.).

The new plan above seems to be similarly aimed at tackling the growing demand for digital and data connectivity in urban areas, albeit this time by deploying an outdoor Neutral Host platform (i.e. a network that mobile operators or other communications providers can then buy access to via wholesale) and using Signify’s luminaire technology – “allowing communities seamless access to public networks“.

Sadly, the announcement doesn’t clarify precisely what luminaire technology actually means, although their website does make reference to a “BrightSites Broadband Luminaire” family of products, which help to spread multi-gigabit mesh network speeds (data capacity) by harnessing radio spectrum in the 60GHz (mmW) band.

Nick Spedding, New Business Manager at Cornerstone, said:

“This partnership is yet another example of our evolution towards neutral hosting and smart city solutions. We’re committed to bringing connectivity to urban and dense urban areas across the UK where currently connectivity is not in place or limited, enabling access to public networks is at everyone’s fingertips.”

The first project under this partnership, which is set to launch “within the next 10 weeks“, will be deployed across three cities (they don’t name any of them), “laying the foundation for future expansion and innovation in the field of smart city infrastructure.”

Network evolution in the era of 5.5G

Insight

We spoke with Cullen Xu, Vice President of Huawei’s 5G & LTE TDD Product Line, to key developments in 5.5G network technology and the new experiences this will unlock for customer

In 2024, roughly five years into the commercial deployment of 5G, the latest generation of wireless technology continues to find success in unexpected places. 5G fixed wireless access (FWA) has becoming hugely popular around the world for delivering broadband services to areas underserved by fibre. Meanwhile, in the enterprise space, dedicated 5G private networks have proven high effective at modernising various vertical industries, particularly in industrial settings like ports, mines, and manufacturing plants.

For consumers too the first phase of 5G has proven technically successful, delivering far greater speeds, lower latencies, and larger capacity compared to 4G. But to truly unlock the latest mobile experiences, like extended reality and cloud gaming, 5G networks will need to take the next step on the evolutionary path, becoming more multi-dimensional and deterministic, ensuring even faster and more resilient connectivity.

Now, following the recent publication of 3GPP’s Release 18, this next stage of development – 5.5G, (also known as 5G Advanced) – is becoming more clearly defined, with initial commercial deployments expected to take place in leading markets like China and the Middle East later this year.

With speeds up to ten times faster than existing 5G, 5.5G is set to enable a plethora of new consumer use cases, as well as further enhancing the technology’s utility for FWA, enterprise, and industrial applications.

But what exactly can we expect from the 5.5G era in terms of network technology?

For Cullen Xu, Vice President of Huawei’s 5G & LTE TDD Product Line, the transition to 5.5G within the network will focus on five key areas.

5.5G: The networks must evolve

Upgrading to ultra-large bandwidth

As more and more people begin to take advantage of 5G services, data demand on the network is expected to increase rapidly. This is especially true for high footfall areas, like subways, stadiums, or tourist locations, where congestion can become a major issue. With 5.5G, networks must be upgraded to support far greater bandwidth, more carriers, and more customers accessing the network simultaneously, to ensure high quality experience for all customers wherever they are.

Multicarrier capability for Massive MIMO

Just as fixed networks will need to evolve, so too will 5G RAN equipment, with Massive MIMO technology required to further embrace multicarrier features. This, as Xu explains, will not only help boost performance, but will play a major role in reducing sites’ energy consumption.

“Huawei’s dual-band Meta AAU product, already used both in China and in other markets, has the same specifications as a single band AAU, but the performance is doubled and has power savings of up to 30%”, explained Xu.

Extremely Large Antenna Array (ELAA)

Further to incorporating multicarrier functionality, 5.5G will also feature ELAA technology, where hundreds or thousands of antennae can leverage beamforming to enhance signal strength and coverage. This technology, native to 5.5G, is already being embedded in the latest RAN equipment.

“In future, this will support mmWave and sub-6Ghz spectrum,” explained Xu. “With ELAA we can multiply or add more elements to our AAU products; for example, supporting up to 2000+ antenna elements for mmWave, which will ensure continuous network coverage.”

Building an intelligent RAN

The process of making RAN equipment more intelligent has already been taking place for many years; for example, Huawei MetaAAU using intelligent beam tracking (Intelligent Beam) to help boost performance by between 20–30%. Now, as we enter the 5.5G era, this build in intelligence will be take even further, with what Huawei calls ‘harmonised MIMO’, allowing for even more intelligent automation of the RAN.

Greener networks

Finally, alongside all of these technological developments, the industry must be careful not to lose sight of another key concern: sustainability. Power consumption remains a major challenge for operators,

Here, Huawei has adopted a ‘0 Bit 0 Watt’ approach, focussing on using minimal power when radio sites are not in use. Through dynamic control, these sites consume less than 10 watts of power during idle hours while still being able to become fully operation in seconds.

Beyond the network: New experiences and new markets with 5.5G

With these network upgrades in place, operators’ path to monetising new services becomes much clearer. They can begin offering subscribers truly unique services, like ultrahigh definition video, 5G new calling services, and 3D video. FWA, too, will be further improved, reaching speeds of 300–500Mbps and enabling services like cloud gaming.

But it is not just consumer use cases that will see the benefits of 5.5G. With the introduction of 5G RedCap, IoT devices can be increasingly integrated with public wireless networks, offering up a wealth of additional data for both operators and their customers.

“This is the first time we will notice that the connection of things is far more than the connections of people,” said Xu. “With the evolution of 5.5G modules starting this year […], we’re going to see more mature and well-established technologies to support passive IoT. In the 5.5G era, we predict an exponential growth in the number of connected things.”

Perhaps one of the most exciting intersections of 5.5G with novel technology is in the automotive industry. Connected vehicles are already becoming increasingly available worldwide, with the ultralow latency and high reliability of 5G integral to ensuring safety and high-quality user experience.

Xu notes that this trend will only increase in the years to come, as connected vehicles become more integrated with the wireless infrastructure around them.

“There is a growing market segment for connected vehicles and road synergy that can make our transportation more efficient. With 5.5G, this coordination segment can be further facilitated to ensure that road and vehicles are safer, and services are more reliable,” he said.

Similar trends can be expected in other vertical industries, with 5.5G’s ultra large uplink and high precision positioning capabilities further improvement to Industry 4.0 applications, like asset tracking and autonomous vehicles. For Xu, the improvement will be so significant that industry’s not leveraging these improved wireless capabilities risk being left behind by competitors.

“With all these features and capabilities, 5.5G can better enable wireless networking in many different industries. Gradually wireless networks will be seen not just as an assisting technology but will widely be adopted for core production domains,” he explained.

A new horizon for wireless technology

It is worth remembering here the current environment in which this wireless evolution is taking place. The number of connected devices is booming, user applications are becoming more data-hungry, and, perhaps most notably. AI is also taking the world by storm. With AI-generated content becoming more commonplace, particularly video content from the likes of Open AI’s Sora, networks will need to be increasingly robust.

“In the AI era we see a lot of emerging services, like Sora and other AI-generated content,” said Xu. “When customers are uploading those videos, we will see a lot of high bitrate traffic. In order to guarantee a very good user experience given such a traffic surge, we’re going to need 5.5G.”

“For me personally, I’m very excited about this new user experience,” he added. “There are a lot of challenges imposed on the network by new technologies like AI GC and Sora, so we need quality assurance. But this is offering customers experiences never seen before and that is a very exciting opportunity for operators.”

Quickline UK Expand FTTP Broadband to 4 New Rural Villages

Broadband ISP Quickline, which is rolling out a new gigabit-capable full fibre (FTTP) and fixed wireless (5G FWA) network across rural and semi-rural parts of the North East and Midlands of England, has today announced that a further four villages across Lincolnshire and North Yorkshire have now been connected to their network.

The latest additions include Sutterton, Wigtoft and Huby in Lincolnshire, as well as nearby Sutton-on-the-Forest in North Yorkshire. The new fibre across this area is understood to have reach some 1,700 premises (homes and businesses). But work to connect some of the remaining premises in outlying areas is set to complete “over the coming weeks“.

NOTE: Quickline’s full fibre network already covers 65,000 UK premises (Nov 2023), which is up from 10,000 at the end of 2022.

Quickline is being supported by funding of around £500m from Northleaf Capital Partners and c.£104m of public subsidy from Project Gigabit (here and here). The provider holds an aspiration to cove around 500,000 premises in rural and semi-rural areas across Northern England and beyond with “ultrafast broadband” via both their Fibre-to-the-Premises (FTTP) and 5G based fixed wireless technology “by 2025” (here). Some 200,000 of those rural premises will be tackled by their wireless network, with the other half or more coming from FTTP.

Residential customers reached by their new full fibre network are typically charged from £29 per month on a 24-month term for 100Mbps (50Mbps upload) speeds with free installation, and that goes up to £49 for their top 900Mbps (450Mbps upload) tier. The first 3 months of service are also free.

London Full Fibre Business ISP Vorboss to Create 60 New Jobs

Network operator and UK ISP Vorboss, which is investing £300m to deploy a 100Gbps point-to-point full fibre network (Ethernet and broadband) – dedicated to business – across central London, has announced that they intend to create 60 new roles within the company to help meet a rapid growth in demand.

At present the operator has already deployed over 500km of fibre optic cables – enough to potentially connect all commercial buildings in Central London, which can provide point-to-point Carrier Tail and Direct Internet to London’s businesses across all sectors. But unlike a lot of other altnets that have recently been cutting jobs, Vorboss are doing the opposite in order to better manage their growth.

NOTE: Vorboss is backed by Fern Trading, which has separately consolidated several other alternative networks (Giganet, Jurassic Fibre, Swish Fibre and AllPoints Fibre).

In particular, the new recruitment drive will increase their account management team from 10 to 70 by September 2024. Some 50 of the new roles in the expanded team will specialize in supporting customers in key industries, including media, broadcast, finance, healthcare, hospitality, hotels and fitness.

The remaining 10 new roles will instead be created at entry level, giving fresh opportunities to begin a new career.

Tim Creswick, Vorboss CEO, said:

“We built our network to meet the huge wave of increasing bandwidth needs of London businesses, and we’re seeing high demand for the service. Now we’re expanding our team to match that demand, and deliver an experience that makes connectivity easy for our customers.”

At this point it’s worth noting that more than 300 technicians and engineers have also been trained in-house at the company’s own academy, and more than a third of Vorboss’ field technicians are women.

Giffgaff UK Set to Start Rolling Out 4G Calling and WiFi Calling

Mobile network provider giffgaff, which is a Mobile Virtual Network Operator (MVNO) on O2’s platform in the United Kingdom, are due to finally start rolling out two long awaited and much demanded new service features this month – Wi-Fi Calling and 4G Calling (VoLTE). But the process will take a while to complete.

For the uninitiated. 4G Calling is another name for Voice-over-LTE (VoLTE) technology, which means that any calls you make or receive will stay on the 4G mobile network (signal allowing) rather than dropping back to 2G. Meanwhile, Wi-Fi Calling enables consumers with a supporting Smartphone to harness their home broadband ISP or other WiFi connection to make mobile voice calls, instead of using your mobile network.

NOTE: There’s no extra charge for using Wi-Fi or 4G Calling. All calls you make will come out of your UK minutes allowance if you have a plan, or will usually be charged at standard PAYG rates if you don’t.

The good news is that, after a lot of prep work involving “many moving parts [and] loads of teams“, giffgaff are about to start gradually migrating customers over to a new platform, which includes support for both of the aforementioned features. This will be particularly handy given O2’s plans to start switching-off 3G services from 2025 (here).

The migration phase, which will occur in phases, is currently in the process of starting now and is then expected to run for around four months. As soon as a particular phone/mobile number has been migrated, the member will automatically be able to access WiFi calling and VoLTE, as long as they have a compatible phone (compatibility is often an issue with these features). The migration process itself will take a few minutes and involve a “temporary loss of service for a brief moment.”

We know many of you have waited for this for a long time, but as we’ve mentioned before, there have been many moving parts, involving loads of teams and a lot of work to make sure that we get this done right for everyone,” said Mitch.J of giffgaff in a recent update (credits to Romk1n and meritez for spotting). The latest update, released a couple of days ago, said that things are currently “proceeding as planned.”

Aside from any issues with device compatibility, giffgaff does also note that members with multiple SIMs may go through the migration process at different times. In addition, the Visual Voicemail feature isn’t available yet, but they do plan to issue a separate update on this in the future.