German telecommunications provider 1&1 has struck a significant deal with Vodafone, one of the country’s leading mobile network operators, to provide 5G coverage to its customers. The agreement will see Vodafone replace current network partner Telefonica Deutschland by October 2024 at the latest.
Under the terms of the deal, Vodafone will extend its coverage to areas not covered by 1&1’s new mobile network, offering services including 5G, 2G, and 4G. The deal is set to be concluded as soon as possible, enabling 1&1 to enhance its offerings to customers and compete with other major telecom players in Germany, including Deutsche Telekom, Vodafone, and Telefonica Deutschland.

1&1, which is primarily owned by United Internet, is in the process of constructing its fourth mobile network in Germany. However, the company faced challenges in rolling out radio masts on Vodafone’s Vantage Towers infrastructure business, leading to a complaint filed with Germany’s cartel office.

Vodafone’s Chief Executive, Margherita Della Valle, has prioritized improving the company’s performance in Germany, as it remains their largest market. The 18-year commercial agreement with 1&1 will commence delivering 5G coverage to 1&1 customers in the second half of 2024.

As part of the agreement, wholesale costs will be indexed to Vodafone’s mobile network cost, reflecting the impact of inflation and technological developments. This move is expected to strengthen both companies’ positions in the competitive German telecommunications market and pave the way for faster and more reliable 5G connectivity for users across the country.

With this collaboration, 1&1 aims to bolster its offerings and provide enhanced services to its customers, while Vodafone seeks to solidify its leadership position in the German telecom landscape, setting the stage for accelerated 5G adoption and improved network experiences for users nationwide.