Carphone Warehouse + Dixons = Dixons Carphone?
Dixons retail is striking forward with a £3.8bn deal to incorporate Carphone Warehouse (CPW) into its portfolio. The retail group already has Currys and PC World in its pockets, and it is rumoured that the merger will be completed on the 7th August.
There is also talk of rebranding the mobile supply stores to 'Dixons Carphone'.
Neither side has mentioned the closure of any high street stores, with Dixons looking to make use of all the 2,000 outlets that CPW already own.
This would also be a brilliant time for Dixons to push ahead with its take on The Internet of Things, as consumers are becoming increasingly tech-savvy and connectivity is at an all time high.
For a quick look at what The Internet of Things actually is, you can view the following video.
As a side note, there is also talk of Carphone Warehouse becoming an MVNO (Mobile Virtual Network Operator). The Financial Times has said that CPW have been in extended talks with Three Mobile with hopes to piggyback off the network, selling its own contracts, handsets, and various connected goods.
This would bring the Carphone Warehouse within striking distance of other MVNO's like Tesco Mobile who have an arrangement with O2 or Asda and currently use EE.
The timing couldn't be better for CPW as EE is considering whether it wants to be utilizing third-party retailers or not. If CPW does manage to get onto Three's networks, the loss of EE for other third-party retailers would potentially open up other contract possibilities.