Rumors suggest that AT&T wants to buy UK-based Vodafone as soon as 2014.
AT&T is undoubtedly one of the biggest carriers in the U.S. and has a big customer base. On the other hand, Vodafone is one of the biggest telecommunications service providers in the world. The carrier owns and operates its networks in more than 30 countries and has partnered with other networks in more than 40 countries worldwide. Moreover, Vodafone Global Enterprise division offers IT and telecommunications services to its corporate clients in over 65 countries globally.
Vodafone has a big presence in the European telecommunication space and AT&T will be able to extend its reach to major European destinations if it successfully acquires Vodafone.
If rumors are to be believed, AT&T executives are working hard to lay the ground for the company to take over Vodafone as early as 2014. It's not the first time that reports are emerging that AT&T has plans to takeover Vodafone. Moreover, Verizon also seems to be interested in taking over Vodafone.
Verizon recently announced its plans to buy Vodafone's stake in its business for $130 billion, which makes the deal the third largest corporate acquisition. If AT&T plans to take over Vodafone, it will have to wait until Verizon's buyout of Vodafone's stake is complete, which is expected to be in 2014.
However, AT&T also seems to have another plan in place if the Vodafone buyout does not materialize as expected by the company - AT&T is eyeing UK carrier EE if it is unable to acquire Vodafone.
If AT&T acquires Vodafone, then the company will have large-scale operations in the U.S., across Europe and several other regions. The company will have over 500 million wireless subscribers worldwide and the company will be able to challenge Google and Apple when negotiating handset subsidies.
Competition amongst telecommunications companies like AT&T is increasing at a very rapid rate in the U.S., which is the biggest market for wireless business in the world. AT&T will face stiff competition at its home ground as it plans to expand its reach extensively in global markets.
