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Vodafone sells off its Spanish network

Vodafone sells off its Spanish network

Business news |
By Nick Flaherty



Vodafone is selling its network in Spain in a deal worth €5bn but is keeping its R&D centre in Malaga.

The deal will see Zegona Communications plc take over the network in Spain with a  brand licence agreement, which permits the use of the Vodafone brand in Spain for up to 10 years post-completion. Vodafone and Zegona will enter into other transitional and long-term arrangements for services including access to procurement, IoT, roaming and carrier services.

“The sale of Vodafone Spain is a key step in right-sizing our portfolio for growth and will enable us to focus our resources in markets with sustainable structures and sufficient local scale. I would like to thank our entire team in Spain for their dedication to our customers and relentless determination to improve our organic performance. However, the market has been challenging with structurally low returns,” said Margherita Della Valle, Chief Executive of Vodafone.

Vodafone recently expanded the R&D centre in Malaga, Spain, where it is working on a fast-track development of new platforms for 5G Open Radio Access Networks (Open RAN) using the ARM architecture.

Vodafone is currently working with chip designer Ampere and specialist systems firm SynaXG to test and validate ARM-based Open RAN silicon, as well as Fujitsu which will provide the RAN software. Testing will begin this year in vendor laboratories to prove the compute platform and silicon integration. It will be extended to include 5G commercial Open RAN software from Fujitsu before moving to Vodafone’s test facilities at Malaga and Newbury, in the UK, in the first quarter of 2024, with additional vendors to follow.

“Vodafone’s Open RAN leadership coupled with the power efficiency of the Arm-based architecture, will widen the chip and software ecosystem.  By expanding the number of competing best-in-class suppliers, we can drive greater innovation, energy efficiency and security for the benefit of our customers,” said Santiago Tenorio, Vodafone Director of Network Architecture.

www.vodafone.com

 

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