• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
Retail5G wireless technology
Europe

The Vodafone-Three merger could be the key to address the U.K.’s 5G connectivity challenges

By
Clément Zampa
Clément Zampa
and
AFP
AFP
Down Arrow Button Icon
By
Clément Zampa
Clément Zampa
and
AFP
AFP
Down Arrow Button Icon
December 6, 2024, 6:02 AM ET
The merger of Vodafone with Three has been approved.
The merger of Vodafone with Three has been approved. Vuk Valcic/SOPA Images/LightRocket via Getty Images

By approving a merger of Vodafone and Three in the UK, the country has secured a commitment from the mobile phone operators to invest billions of pounds on 5G connectivity.

Recommended Video

The UK ranks 53rd in the world for median download speed, according to connectivity intelligence firm Ookla.

Its mobile network is the least competitive in the G7, second only to Germany, which is Vodafone’s main market.

The UK’s mobile network is “increasingly comparable to that of smaller economies in Eastern Europe, rather than to its wealthier neighbours in Western and Northern Europe”, said Luke Kehoe, European industry analyst at Ookla.

So, how did the UK get left behind in the push for faster mobile connection?

Huawei ban

In 2020, Britain banned Chinese giant Huawei, a major supplier of equipment for mobile telephone networks, amid fears over cyber security and intense pressure from Donald Trump during his first US presidency.

The move forced operators to remove the Huawei equipment from 5G networks offering faster download speeds by 2027.

This huge undertaking delayed the rollout of 5G by two years and cost around £2 billion ($2.5 billion), according to government estimates.

British telecoms giant BT has already spent an extra £500 million as a result of the ban.

The fifth-generation successor to 4G technology offers quicker transfers of data.

Covid impact

With the Covid pandemic breaking out around the same time as the Huawei ban, operators were forced to focus on fixing home networks rather than their mobile equivalents, slowing down the capacity for wider 5G rollout.

George Elliott, policy and communications director at trade association Mobile UK, said strict pandemic restrictions in the UK impacted also the ability of technicians to go out and build the networks.

Lack of investment

The government’s target is for all populated areas of the UK to have standalone 5G coverage by 2030.

Estimates suggest “that optimal 5G coverage by 2030 could require up to £34 billion — far beyond current commitments”, said Matt Britzman, an analyst at stockbrokers Hargreaves Lansdown.

Vodafone and Three “have committed to invest £11 billion to create one of Europe’s most advanced 5G networks”, the pair said Thursday.

One unnamed mobile operator in the sector said it regretted the pressure placed on it by governments to launch 5G before it was fully ready, with operators instead having to rollout a more limited, non-standalone version.

Regulation

Britzman also notes that the rollout of infrastructure in the UK had been slowed by “legal disputes over tower installations and complex planning laws”.

Operators cite these regulations, which they say give too much importance to local players, as the number one cause of delays in 5G.

Join us at the Fortune Workplace Innovation Summit May 19–20, 2026, in Atlanta. The next era of workplace innovation is here—and the old playbook is being rewritten. At this exclusive, high-energy event, the world’s most innovative leaders will convene to explore how AI, humanity, and strategy converge to redefine, again, the future of work. Register now.
About the Authors
By Clément Zampa
See full bioRight Arrow Button Icon
By AFP
See full bioRight Arrow Button Icon

Latest in Retail

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Leadership
  • Success
  • Tech
  • Asia
  • Europe
  • Environment
  • Fortune Crypto
  • Health
  • Retail
  • Lifestyle
  • Politics
  • Newsletters
  • Magazine
  • Features
  • Commentary
  • Mpw
  • CEO Initiative
  • Conferences
  • Personal Finance
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Most Popular

placeholder alt text
Economy
Elon Musk warns the U.S. is '1,000% going to go bankrupt' unless AI and robotics save the economy from crushing debt
By Jason MaFebruary 7, 2026
2 days ago
placeholder alt text
Success
Gen Z Patriots quarterback Drake Maye still drives a 2015 pickup truck even after it broke down on the highway—despite his $37 million contract
By Sasha RogelbergFebruary 7, 2026
2 days ago
placeholder alt text
Economy
Russian officials are warning Putin that a financial crisis could arrive this summer, report says, while his war on Ukraine becomes too big to fail
By Jason MaFebruary 8, 2026
11 hours ago
placeholder alt text
Commentary
America marks its 250th birthday with a fading dream—the first time that younger generations will make less than their parents
By Mark Robert Rank and The ConversationFebruary 8, 2026
20 hours ago
placeholder alt text
Success
Even with $850 billion to his name, Elon Musk admits ‘money can’t buy happiness.’ But billionaire Mark Cuban says it’s not so simple
By Preston ForeFebruary 6, 2026
3 days ago
placeholder alt text
Future of Work
Anthropic cofounder says studying the humanities will be 'more important than ever' and reveals what the AI company looks for when hiring
By Jason MaFebruary 7, 2026
2 days ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.


Latest in Retail

RetailEurope
Trump’s Greenland crisis triggered a surge in apps designed to help shoppers boycott U.S. goods, though few American imports are on store shelves
By James Brooks and The Associated PressFebruary 8, 2026
17 hours ago
colorado
RetailGrocery
Grocery prices have surged 25% in Colorado since the pandemic with Kroger and Walmart sharing half the market. Enter Aldi
By Jack Buffington and The ConversationFebruary 8, 2026
20 hours ago
C-SuiteRetail
Meet the CEO taking Victoria’s Secret from ‘woke-washing’ to owning sexy again
By Emma HinchliffeFebruary 7, 2026
2 days ago
Arts & EntertainmentSuper Bowl
Many 2026 Super Bowl ads share a common theme, revealing a truth about America’s current mindset
By Mae Anderson and The Associated PressFebruary 6, 2026
3 days ago
super bowl
Arts & EntertainmentFood and drink
Your Super Bowl party can beat inflation, Wells Fargo says. Just double down on wings and guac and skip the beef
By Nick LichtenbergFebruary 6, 2026
3 days ago
A woman holds up a peace sign as she runs in the New York City Marathon.
RetailLuxury
Gen Z’s latest status symbol is running a marathon—and it’s terrible news for Gucci, Louis Vuitton, and Hermès
By Sasha RogelbergFebruary 6, 2026
3 days ago