Vodafone Completes €175 Million Skaylink Acquisition to Accelerate Digital‑Services Growth

VOD
December 17, 2025

Vodafone Group PLC announced the closing of its €175 million purchase of Skaylink, a cloud‑services and digital‑transformation specialist, on 17 December 2025. The deal brings more than 500 Skaylink employees and a portfolio of Microsoft Azure and Amazon Web Services‑based cloud, security and AI solutions into Vodafone’s business‑to‑business offering.

The acquisition is a key step in Vodafone’s strategy to shift from a traditional telecom operator to a technology‑centric services provider. Skaylink’s deep expertise in cloud migration, managed services and AI‑driven security aligns with Vodafone’s goal of expanding its high‑margin digital‑services segment in Germany and across Europe. By adding Skaylink’s capabilities, Vodafone can offer integrated connectivity, cloud, and security solutions that are increasingly demanded by enterprise customers undergoing digital transformation.

Vodafone’s digital‑services revenue has been a growing portion of its overall top line, but the segment’s scale is still modest compared with core connectivity services. The Skaylink acquisition is expected to accelerate that growth by adding a proven customer base of over 1,000 enterprise accounts, primarily in the DACH region, and by deepening Vodafone’s cloud‑native service mix. Management expects the integration to generate synergies through cross‑selling opportunities and cost efficiencies in shared support functions.

Chief Executive Officer Nick Read said the deal “accelerates our transformation into a high‑margin digital‑services provider” and highlighted Skaylink’s AI and security expertise as a “critical enabler” for Vodafone’s enterprise customers. Chief Financial Officer Thomas Schmid noted that the transaction “strengthens our portfolio in a way that aligns with our long‑term growth strategy and enhances our competitive positioning in the European market.”

Analysts view the acquisition as a positive signal of Vodafone’s commitment to digital services, noting that the deal complements existing partnerships with Microsoft and Google Cloud. The market has responded favorably to the strategic fit, with commentators emphasizing that Skaylink’s specialized skill set will help Vodafone capture a larger share of the growing cloud‑security market and improve its margin profile.

The acquisition is expected to be fully integrated by the end of 2026, with Vodafone projecting that Skaylink’s revenue will contribute to a higher‑margin digital‑services segment. Management remains confident that the combined entity will deliver stronger growth and profitability, reinforcing Vodafone’s long‑term transformation agenda.

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