Telefónica plans to acquire more UK broadband providers to strengthen its Virgin Media O2 (VMO2) stake and counter BT’s Openreach dominance. The Spanish group, which holds 50% of VMO2, recently finalized a £2bn deal to buy Netomnia, a rival broadband firm, through its joint venture Nexfibre. The move aims to expand VMO2’s reach to 20mn premises, up from 8mn currently, while Nexfibre’s upgraded network will cover 8mn UK homes.

BT’s Openreach, which serves 30mn homes (22mn with full fibre), remains the market leader, prompting Telefónica’s aggressive push.