The network launch of 1&1 will probably take place later than planned. 1&1 has now announced this and at the same time announced that they will file a complaint against Vodafone with the Federal Cartel Office.
According to its own statements, 1&1 will file a complaint against Vodafone with the Federal Cartel Office. From the point of view of the provider, the subject of the complaint will be “continuing hindrances in the expansion of their 5G mobile network by Vodafone”. The background is a contract that has been concluded for the use of 3,800 antenna locations of the Vantage Towers. The listed Vantage Towers is over 80 percent controlled by the Vodafone Group and operates the Vodafone transmission masts. At the same time, the company was to be the most important expansion partner for the new network operator. It’s not just about renting the locations, but also about setting up the antennas on site. But now there is a crunch between the companies.
ACCUSATION: VODAFONE HINDERS NETWORK EXPANSION FOR 1&1
As part of the contractual agreement between 1&1 and Vantage Towers, expansion targets for 2022 were defined. “Vantage Towers missed this almost completely,” says 1&1. Because at the end of 2022 there were just five 5G antenna sites in the new network, some of which were provided by Vantage Towers.
As the press release on the complaint goes on to say, Vantage Towers presented a new rollout plan at the end of last year. Now, representatives of Vantage Towers and Vodafone have “finally announced” in a joint meeting of 1&1 that there will be further delays and that the new rollout plan will not be adhered to either. In particular, the expansion targets planned for the first quarters of 2023 are expected to be clearly missed. The accusation: “An end to the preferential treatment obtained by Vodafone at Vantage Towers for the expansion activities for Vodafone at the expense of the 1&1 network construction does not seem to be in sight.”
Vodafone is apparently rubbing salt in the wound by demanding that the usual allocation procedure be dispensed with for the pending frequency allocation. This is about the reallocation of frequencies for area coverage, which the new network operator completely lacks. The three established network operators Vodafone, Telekom and Telefónica have them and would like to continue using them without an auction. “The need of 1&1 for low-band frequencies, on the other hand, must be questioned due to the hardly existing 1&1 network structure,” said Vodafone. “Vodafone fails to mention that the low level of expansion of the 1&1 network is largely due to the likely hindrances by Vodafone in the development of the antenna locations of Vantage Towers,” 1&1 publicly fumes.
According to its own statements, 1&1 is “doing everything possible” to build its new mobile network as quickly as possible. At the same time, however, it is also clear that the planned start of the mobile network in the summer is already shaky again. Reason are the renewed delays in the provision of antenna sites by Vantage Towers. This is also due to the fact that the necessary technical certification processes sometimes require a certain minimum number of antenna locations. The schedule for further network expansion is now being reviewed.
TELEKOM BOSS: NO SERIOUS ATTEMPT TO BUILD A NETWORK
Meanwhile, Telekom boss Tim Höttges is publicly railing against his competitor. The manager, who is known for his sharp words against his competitors, said yesterday that the new network operator would not make serious expansion efforts. “1&1 built three of the 1,000 antennas that they would have had to pay for as part of the installation obligation. If you ask me, there is no serious attempt by 1&1 to build a mobile network in Germany,” said the Telekom boss as part of the presentation of his own balance sheet figures. Höttges may have put a thorn in the side of those responsible at 1&1 without knowing it.
According to the license requirements, 1&1 should have had 1,000 channels active by the end of last year. This goal was missed with a bang. It is unclear how the Federal Network Agency will deal with this. When it came to expanding the network, 1&1 decided to rely almost entirely on external companies and partners. This applies in particular to the locations and the structure of the radio network. On the other hand, 1&1 regulates the necessary data centers and the supply via fiber optics via 1&1 Versatel. 1&1 has thus become very dependent on other companies.
Spicy: Due to a condition imposed by the Federal Network Agency, 1&1 must stop marketing contracts as a provider at the end of 2023 and may only switch SIM cards in its own network . That also means that the clock is ticking louder and louder for 1&1 and that its own network urgently needs to be started.
