AT&T Again Warns Window for Europe Deal Closing

AT&T Inc. signaled again Wednesday that it may lose interest in doing a wireless deal in Europe if it can't do one soon.

Chief Financial Officer John Stephens, speaking at an investor conference, said the window of opportunity for a deal is closing, echoing comments made late last week by Chief Executive Randall Stephenson.

AT&T has explored a bid for Vodafone Group PLC, people familiar with the matter have said. But it can't approach the carrier until the summer due to a regulatory technicality. The companies could hold talks sooner if they were initiated by Vodafone.

The AT&T executives both cited progress in Europe toward rolling out high speed networks, a shift AT&T had hoped to capitalize upon, and new competitive threats in AT&T's backyard, where Comcast Corp. and Time Warner Cable have agreed to merge in a deal that would create a giant new rival for the phone company's broadband and pay-television services.

Meanwhile, Vodafone has been pursuing cable companies in Europe, most recently studying a possible bid for Ono SA in Spain, according to a person familiar with the matter.

Mr. Stephens said AT&T still sees opportunity in Europe, but said it is important to note that things have changed.

Write to Thomas Gryta at [e-mail]

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