It’s official: Vodafone and TPG have merged

It has been a long and complicated road, but Vodafone and TPG have finally merged into TPG Telecom Limited.

Plans for this merger were first announced in August 2018 and during that time, the Australian Competition and Consumer Commission (ACCC) tried to block the deal. Although the case went all the way to the Federal Court, the merger was eventually approved in February, 2020, giving these two telco giants the green light to combine resources and take on Telstra and Optus.

Now the merger is official, find out what this may mean if you’re a TPG or Vodafone customer – and what it means for the rest of the Australian telco industry.

Vodafone and TPG merger — what took so long?

Back in 2017, TPG announced its plans to take on the big three telcos — Telstra, Optus and Vodafone — by building its own mobile network. However, as TPG had hoped to build its own network with infrastructure provided by Huawei, this plan was scrapped in 2018 after the Australian Federal Government’s ban on Huawei from providing 5G equipment to Australian carriers due to security concerns.

In August of 2018, TPG and Vodafone announced plans to merge their telecommunications services. At the time, the ACCC attempted to block this merger, citing concern that it would reduce competition across both mobile and broadband (such as the competitive pricing adopted by TPG in the past). The ACCC had hoped that by preventing the merger, TPG would continue with its plans to build a fourth mobile network, and generate more competition in a market which is dominated by Telstra, Optus and Vodafone.

Once the ACCC tried to block the $15 billion AUD deal, Vodafone announced it would fight the decision in the Federal Court. Finally, in February 2020, the Federal Court approved the Vodafone and TPG merger, and both companies forged ahead with plans to unite by August 2020.

With the drawn-out legal battle over, Vodafone and TPG – under the TPG Telecom Limited parent company – are finally operating as a merged company. Vodafone changed its name from Vodafone Hutchison Australia (VHA) to TPG Telecom on 29 June, and on July 13, 2020, both companies officially began operating as one.

Now TPG Telecom includes some of the telecommunications market’s biggest names under one umbrella: in addition to Vodafone and TPG, the company also owns and operates iiNet, Internode, AAPT and Lebara.

Today is a landmark day for us. We’ve just listed on the ASX as TPG Telecom under the ticker code ‘TPG’ ahead of our merger next month. We’re excited about what we’ll be able to bring to customers as a strong, full-service challenger. Full media release: https://t.co/SyMvqzAGSi pic.twitter.com/RYai6s8x8Y

— Vodafone Australia (@VodafoneAU) June 30, 2020

What happens to Vodafone and TPG customers?

Whether you have a phone or internet plan with Vodafone or TPG, the good news is that nothing will change. If you’re on a Vodafone plan, you’ll remain on a Vodafone plan, and likewise with TPG.

However, some customers might find an improvement to their service thanks to TPG’s spectrum technology (the radio waves which carry mobile communications) and small cell assets, which Vodafone will be rolling out to its mobile network. What this means is that there will be more capacity on the network and an improved mobile performance for customers. The TPG fibre network will also be used to connect more Vodafone mobile sites to improve mobile performance.

“We’ve always said that VHA and TPG would be better together, and customers will start seeing many of the benefits of the merger from today,” TPG Telecom Chief Executive Officer Iñaki Berroeta said. “From today, customers in Canberra will benefit from a 20 per cent increase in capacity after we deploy additional 1800MHz spectrum to 99 sites, with deployments planned for other areas over coming weeks.”

Improvements have also been made in Melbourne’s CBD, where small cells have been switched on to boost performance in areas such as Collins Street and Docklands. The merger is also set to help improve Vodafone’s investment into its 5G network, which has been trailing in development behind Telstra and Optus.

As for your service with Vodafone and TPG, at this stage, nothing has changed. You will receive your plan inclusions as normal, billing will remain the same (even if you have separate services from both providers), and these two companies will continue to operate as separate entities. At the moment, TPG plans won’t be eligible for Vodafone’s Bundle and Save discounts, however this may change in the future.

Compare Vodafone and TPG phone plans

Curious about the differences between Vodafone and TPG when it comes to phone plans? The following tables show a selection of published Vodafone and TPG plans on Canstar Blue’s database, listed in order of cost, from the lowest to highest and then by data allowance, largest to smallest. Use our comparison tool to see plans from a range of other providers. This is a selection of products with links to a referral partner.

Compare Vodafone and TPG NBN plans

If you’re interested in NBN plans from Vodafone, TPG, iiNet or Internode, the following table shows a selection of published unlimited Standard Plus Evening Speed (NBN 50) plans on Canstar Blue’s database, listed in order of cost, from the lowest to highest and then by data allowance, largest to smallest. Use our comparison tool to see plans from a range of other providers. This is a selection of products with links to a referral partner.