Spanish mobile virtual network operator (MVNO) Pepephone has reportedly inked an agreement with the country’s largest cellco by subscribers, Telefonica Espana, which offers services under the Movistar banner, to switch to the latter’s infrastructure.
According to Expansion, the development is the latest in a long-running saga which began after Pepephone failed to agree terms for access to the 4G network belonging to its current host, Vodafone Spain. While the virtual operator was still locked into a contract with Vodafone, it launched a legal appeal claiming breach of contract, before going on to ink a new MVNO deal with Yoigo in February 2014. However, this proved short-lived, as with Yoigo relying on Movistar for 2G/3G coverage in parts of the country, the latter refused to allow Pepephone access to this infrastructure under its deal with Yoigo. Such a decision in turn prompted Yoigo to report the matter to antitrust watchdog the Comision Nacional de los Mercados y la Competencia (CNMC), which is still considering the case. Nonetheless, Pepephone has now struck a deal which will see it move all of its 465,000 subscribers from the Vodafone network onto Movistar’s infrastructure from December 2014.