TalkTalk CEO Dido Harding has expressed concern about M&A activity in the UK, as her company delivered a trading update for the three months to June.
The Chief Executive (pictured) said ongoing merger activity, notably BT’s acquisition of EE and the merger of O2 and Three, threatened to limit the ability of TalkTalk to compete.
Harding commented: “We remain deeply concerned by current consolidation proposals in the UK, which will inevitably stifle competition and lead to increased prices and reduced innovation for consumers, as demonstrated in other European mobile markets, including Ireland.”
Vodafone is also discussing the potential acquisition of assets from Virgin Media-owned Liberty Gobal, while Sky has announced plans to enter the mobile market next year.
TalkTalk reported “a good start” to its financial year with revenue growth of 3.5 percent as well as “strong growth” in EBITDA.
So-called on-net sales – those customers connected directly to TalkTalk's own network as opposed to that of BT – were up 6.5 percent during the period, while revenues from corporate customers were up by 4.9 percent.
The company did not provide precise figures.
It said the launch of its unlimited SIM in April had been a particular success, delivering the company 15 percent of new SIM-only market, compared to 11 percent last quarter.
Harding said she had been “encouraged” by Ofcom’s recent consultation paper on its Strategic Market Review and reiterated her call for regulators to “make the most of the opportunity to take bold, radical action, such as the separation of Openreach”.
Harding added: “It is increasingly clear that this is the only way to prevent the future of the UK’s digital infrastructure from being held to ransom.”
Harding said the company remained on track to deliver full year revenue growth of five percent.
“We are committed to providing UK consumers with value for money quad-play products, while at the same time continuing to invest in our customers’ experience,” she said.