Vodafone has confirmed it’s “in the early stages of discussions” with Virgin Media owner Liberty Global about a possible swap “of selected assets between the two companies.”
The mobile giant’s statement came in response to media reports that it was in talks to merge with Liberty, which provides telecoms and cable TV services in 14 countries.
Speculation of a tie-up between the two companies has intensified since BT announced its £12bn purchase of EE and the owners of Three confirmed plans to buy O2, a deal which would create the UK’s largest mobile operator.
With a growing number of pay-TV operators looking to offer mobile services alongside their TV products, Vodafone has looked increasingly vulnerable to price competition as rivals seek to offer bundles of low cost services to budget-conscious households.
It has previously announced plans to launch its own TV offering this year, although details are sketchy.
In its statement, Vodafone said “There is no certainty that any transaction will be agreed, nor is there certainty with respect to which assets will ultimately be involved.”