ACCC approves Vodafone, H3G merger proposals

29 May 2009

The Australian Competition and Consumer Commission (ACCC) has given the green light to the merger of mobile operators Vodafone Australia and Hutchison 3G Australia (H3G), itWire reports. The regulator said that it found no reason to believe that the tie-up would substantially lessen competition in the country’s wireless sector. Additionally, having considered the factors surrounding the merger the ACCC noted that should the tie-up not move forward ‘the parties are unlikely to sustain the significant investment in their mobile networks to provide competitive high speed data services, such as mobile broadband.’ Following the approval Vodafone and H3G revealed a shift in the marketing strategy for the to-be-formed company, stating that the 3 brand would now be retained; when the merger was first proposed the companies said services would be marketed solely under the Vodafone brand.

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