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Sure is promising an "investment in world-class digital infrastructure" not it's been given permission in both Guernsey and Jersey to buy Airtel Vodafone.
Speaking after the States of Guernsey voted by a majority to temporarily suspend the island's competition law to allow the purchase, Sure's CEO Alistair Beak was confident in the benefits the deal will bring to his customers and the Channel Islands' connectivity as a whole.
“(The) decision is great news for Sure and Airtel customers and the future of telecommunications services in Guernsey and Jersey," he said.
"We are grateful that Deputies have recognised the numerous strategic, economic and social benefits of our acquisition of Airtel."
Sure had already been given permission to buy Airtel in Jersey - with the Jersey Competition Regulatory Authority making the decision there.
Here, the Guernsey Competition Regulatory Authority was bypassed with the Economic Development committee asking the States to back the move instead.
ED President, Deputy Neil Inder explained that this was "due to the differences between the two markets," with Sure and Airtel together having a 50/50 market share with Jersey Telecom. In Guernsey, when Sure buys Airtel the market will be split 80/20 against JT.
That meant the JCRA could deal with the application in Jersey, "whereas in Guernsey, the regulator indicated it was unlikely to be able to approve the acquisition due to the lessening of competition that would arise," explained Deputy Inder.
Pictured: Alastair Beak, Sure CEO.
Deputy Inder convinced most of his political colleagues to back this plan, persuading them that the benefits which will arise from Sure buying Airtel outweighed any concerns over suspending the competition law.
Mr Beak said those benefits will materialise for all mobile phone users and not just Sure's customers.
He said there will be a multi-million pound investment in the network and wider digital infrastructure.
“The approval granted (on Thursday) paves the way for a significant investment of up to £48m in a world-class 5G mobile network for the islands," he said.
"We have made several legally binding commitments to ensure Sure and Airtel customers, as well as the wider community, benefit significantly – in the form of high-speed data services, improved coverage, and greater value for money; all while maintaining competition in the market through the commitment to launch the Channel Islands Coop as a new operator.
“The investment in world-class digital infrastructure will support our increasingly digital lives, connecting our island communities to a better future and contributing to economic growth.
“Having secured approval in Jersey earlier in the year we can now move forward and complete the transaction in the coming weeks. In the meantime, Sure and Airtel Vodafone will continue to operate as two separate companies.
“I’d like to thank everyone on our team who has worked so hard on the acquisition so far.”
Pictured: Deputy Neil Inder convinced a majority of States members to suspend the competition law so Sure can buy Airtel Vodafone.
The Coop will be entering Guernsey's market as the third mobile phone operator once Airtel Vodafone exits the market - which Mr Beak and Deputy Inder both insisted would mean fair competition is maintained in the market.
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