1&1:5G Infrastracture: Difference between revisions

====1&1-Vantage Towers Partnership developments====

On February 24 2022, 1&1 announced that it was going to launch a complaint against Vantage Towers at the Federal Cartel Office for failing to meet its antenna sites obligations. The complaint is also against Vodafone who happens to be the majority shareholder of Vantage Towers with a 81 percent stake. According to 1&1, Vodafone is using its influence to get preferential treatment from Vantage Towers at the expense of 1&1. As at the end of 2022, 1&1 had only five 5G antenna sites, some provided by Vantage Towers. On the other hand, Vodafone had 1,600 5G antenna sites based on Vantage Towers infrastructure. Other than failing to meet its 2022 antenna site obligations, Vantage Towers and Vodafone has also told 1&1 that they won't be able to meet their obligations in the first quarters of 2023. This means that the 1&1's planned launch of 5G in Q3 2022 will be pushed to another date. 1&1 is also complaining that Vodafone is supporting the extension of low-band frequencies given to incumbent network operators Vodafone, Deutsche Telekom and Telefónica for further years without an auction. According to 1&1, this is wrong considering that its network is hardly built up and Vodafone is somehow to be blamed for the low-build out of Vantage Towers antenna sites.<ref>https://www.eqs-news.com/news/corporate/11-requests-the-federal-cartel-office-bundeskartellamt-to-review-the-hindrance-of-the-construction-of-the-fourth-german-mobile-network-slight-delays-in-network-launch-possible/1760247</ref> We believe that the immediate action taken by 1&1 had been carefully planned and that 1&1 wants to capitalise on the new capital structure at Vantage Towers. The capital structure makes Vantage Towers independent from its main shareholders. It also make third party customers more important than shareholders.<ref>https://www.bloomberg.com/news/articles/2023-01-31/activist-elliott-discloses-stake-in-germany-s-vantage-towers</ref><ref>https://www.kkr.com/sites/default/files/Pressemitteilung-Konsortium-angefu%CC%88hrt-von-GIP-und-KKR-schlie%C3%9Ft-strategi-che-Partnerschaft-mit-Vodafone-zur-Beteiligung-an-Vantage-Towers-AG.pdf </ref> 1&1 probably hopes to compel Vantage Towers to give them access to the next towers to be constructed at the expense of Vodafone. Given that 1&1 stands to be the fourth MNO in Germany and its good track record of leveraging regulatory bodies, we believe that 1&1 stands a chance to win the complaint.