Vodafone has formed a long-term partnership with CityFibre, the UK's largest alternative provider of wholesale fibre network infrastructure, to bring ultrafast Gigabit-capable full fibre broadband to up to five million UK homes and businesses by 2025.
Under the wholesale agreement, Vodafone will have a period of exclusive rights (predominantly during the build phase of each city network) to market ultrafast consumer broadband services on the FTTP network to be built, operated and owned by CityFibre.
Construction of the first phase of deployment to one million premises is due to start in the first half of 2018 and will be largely complete in 2021.
Both parties have the right to extend the commercial terms of this agreement to expand coverage to a further four million homes and businesses by 2025.
The partnership will bring Gigabit-capable FTTP connections to households, businesses and public sector sites such as schools, hospitals and GP surgeries.
Vodafone said the agreement provides it with access to a superior product at a lower cost and with better service conditions than the regulated wholesale terms offered by the incumbent operator for access to its legacy copper telephone line broadband network.
Vodafone UK chief executive Nick Jeffery said: "Vodafone is already playing the leading role in building the Gigabit Society across Europe by providing customers with high-speed, high-quality broadband. The UK has fallen far behind the rest of the world, trapped by the limited choice available on legacy networks. We look forward to working with CityFibre to build the Gigabit fibre network that the UK needs and deserves."
At 9:32am: (LON:VOD) Vodafone Group PLC share price was +1.68p at 217.58p