Bouygues, Orange and Iliad confirm acquisition talks with Altice

Bouygues Telecom, Orange and Iliad have confirmed they are in talks to buy a large part of Altice France’s telecom assets, months after Altice rejected their joint, nonbinding €17 billion offer in October. The companies say they began due diligence earlier this month and negotiations are ongoing, but warn there is no guarantee the discussions will lead to a deal.

If an agreement is reached, France’s mobile market would shrink from four major operators to three, speeding up consolidation in a sector already under pressure from heavy price competition. Any transaction would face tough scrutiny from French and EU competition regulators, who could demand asset sales or network-sharing to curb market power. The buyers see potential savings from combining networks, retail and back-office operations, which could free up money for 5G, fibre and AI investments. But overlapping roles would likely put jobs at risk, a sensitive issue in a country where Orange alone employs about 68,000 people, Bouygues Telecom around 11,000 and Iliad more than 18,000, and where unions and politicians closely watch employment in the sector. A reshaped market could leave one or two dominant players with more control over wholesale pricing and industry direction.