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Telefonica and Vodafone finalize terms for FTTH venture in Spain

Telecom operators Telefonica and Vodafone have agreed on the terms for establishing a FTTH network-sharing venture called FibreCo in Spain. Telefonica will hold a 63 percent equity stake, while Vodafone will own 37 percent.

Optical fiber investment

FibreCo will cover approximately 3.6 million premises, maximizing the use of the existing FTTH network and allowing both parties to leverage network efficiencies and future technological advancements.

The new entity will provide fibre optic services to both Telefonica and Vodafone for retail and wholesale customers, and is projected to have around 1.4 million customers at inception, aiming for a 40 percent market penetration.

The FTTH joint venture between Telefonica and Spain is expected to enhance fibre broadband offerings in Spain, contributing to digital transformation and improving service options for consumers and businesses.

Emilio Gayo, CEO of Telefonica España, emphasized the value added to Spain’s digital infrastructure.

Jose Miguel García, head of Vodafone Spain, highlighted the joint venture as a milestone in Vodafone’s transformation and competitiveness strategy.

Post-regulatory approval, expected in early 2025, the companies plan to bring a financial investor into the venture, with Telefonica retaining a majority stake.

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