The tangled web of mobile telecommunication mergers: Hutchison Whampoa, Telefónica and BT

Abstract

Purpose

This paper aims to demonstrate how consolidation within Europe’s mobile telecommunication markets requires willing buyers and sellers.

Design/methodology/approach

After highlighting the resurgence in merger and acquisition (M & A) activity in mobile telecommunications, the paper draws on a variety of secondary sources to analyse the strategies of three companies.

Findings

The paper highlights the interwoven nature of the strategies of three companies: BT, Hutchison Whampoa and Telefónica. BT has returned to the mobile telecommunications market in the UK, with the company it did not acquire being purchased by Hutchison. As Hutchison implements a “double or quits” strategy in Europe, it has acquired operations from Telefónica, which, in turn, has exited most of its non-Spanish European operations to focus on Latin America.

Research limitations/implications

The paper relies on secondary data and thus highlights the challenges of doing so and the need for more information regarding M & As to be in the public domain.

Practical implications

There is a need to adopt a sector-wide or regional approach for analysing the strategies of telecommunication companies.

Originality/value

The paper uniquely provides an overview of three corporate strategies to show how they interact with one another.

Citation

Curwen, P. and Whalley, J. (2016), "The tangled web of mobile telecommunication mergers: Hutchison Whampoa, Telefónica and BT", info, Vol. 18 No. 2, pp. 17-37. https://doi.org/10.1108/info-08-2015-0041