Highlights
For further information on these and other events, please refer to our media information.
For comprehensive information on the T-Share, please visit our Investor Relations website.
Guidance raised for the 2024 financial year
We are raising our guidance for free cash flow AL of the Group for the 2024 financial year. Instead of the previous level of around EUR 18.9 billion, we now expect to post free cash flow AL of around EUR 19.0 billion.
Transactions
Deutsche Telekom AG’s share buy-back program. Since January 3, 2024, Deutsche Telekom AG has been buying back shares as part of a buy-back program. The buy-back of up to a total volume of EUR 2 billion will be carried out in several tranches through December 31, 2024. As of June 30, 2024, Deutsche Telekom AG had bought back around 43 million shares with a total volume of EUR 0.9 billion.
For detailed information on the 2024 share buy-back program, please refer to our Investor Relations website.
Acquisition of T‑Mobile US shares by Deutsche Telekom. On June 7, 2024, Deutsche Telekom exercised its fixed-price options on shares held by SoftBank to acquire around 7 million T‑Mobile US shares for a total purchase price of USD 0.7 billion (EUR 0.6 billion). Deutsche Telekom acquired the shares at an adjusted exercise price of USD 99.51, significantly below the market price.
For further information, please refer to our media report.
T‑Mobile US’ shareholder return program from September 2023 continued. On September 6, 2023, T‑Mobile US announced a USD 19 billion shareholder return program comprising share buy-backs and dividends to be paid out, due to run through December 31, 2024. T‑Mobile US paid a second and third cash dividend in the first half of 2024 of USD 0.65 per share in each case, the Board of Directors declared a fourth cash dividend of USD 0.65 per share, and further shares were bought back.
Acquisition of Ka’ena in the United States. On May 1, 2024, T‑Mobile US consummated the acquisition of mobile provider Ka’ena. All necessary regulatory approvals had been duly granted and all other closing conditions met.
Agreement on the acquisition of UScellular in the United States. On May 24, 2024, T‑Mobile US entered into an agreement on the acquisition of UScellular’s wireless operations and specific spectrum licenses. The transaction is subject to regulatory approvals as well as other customary closing conditions and is expected to close in mid-2025.
Agreement on the acquisition of Lumos in the United States. On April 24, 2024, T‑Mobile US entered into an agreement with the investment fund EQT on the acquisition of the fiber-to-the-home platform Lumos. The transaction is subject to regulatory approvals as well as other customary closing conditions and is expected to close in late 2024/early 2025.
For further information on these transactions, please refer to the sections “Group organization, strategy, and management” and “Development of business in the Group” in the interim Group management report and the sections “Changes in the composition of the Group and other transactions” and “Other transactions that had no effect on the composition of the Group” in the interim consolidated financial statements.
Network build-out
Germany. As of the end of the first half of 2024, our 5G network was available to 97.0 % of the German population, and a total of 8.8 million households and companies can subscribe to a fiber-optic line with us.
Europe. As of the end of the first half of 2024, our national companies covered on average 72.1 % of the population in our European footprint with 5G, and a total of 9.5 million households can access our fiber-optic network offering gigabit speeds.
Employees
Collective agreement. Deutsche Telekom and the trade union ver.di reached a collective agreement in May 2024 for some 58 thousand employees covered by collective agreements, apprentices, and dual students across Germany. Key points agreed were a 6.0 % wage increase effective October 1, 2024 and a monthly salary increase of EUR 190 (employees) or EUR 95 (apprentices and dual students) from August 1, 2025. A premium of EUR 1,550 (EUR 775 for apprentices and dual students) to compensate for inflation will additionally be paid in July 2024.
For further information, please refer to our media report.
Cooperations, partnerships, and major deals
Optical fiber. Deutsche Telekom and the German real estate association Verband der Immobilienverwalter Deutschland e.V. signed a joint paper in May 2024 setting out their shared fiber strategy. A central focus will be on building out fiber to buildings comprising individually owned residential units. More than 8 million homes will be able to benefit from our fiber-optic offerings.
In April 2024, we secured a major network build-out deal with Lidl to deliver broadband to a large portion of Lidl’s stores across Germany in the coming years, many of which via fiber-optic technology. Lidl is our first corporate customer to implement a nationwide transformation strategy to bring itself into the gigabit age.
5G campus networks. Deutsche Telekom’s private 5G campus network for RTL Deutschland went live in June 2024. The broadcaster is the first in Germany to roll out an independent 5G standalone network for its production studios.
Paper manufacturer Hamburger Containerboard is now also operating a 5G campus network from Deutsche Telekom at its Spremberg site in the Lusatia region, with mobile coverage for the entire plant provided by 5G standalone.
T‑Systems. In June 2024, the AOK Federal Association of health insurance providers awarded T‑Systems a contract to provide and manage secure digital identities (health ID) for AOK’s members. The health ID will be the key to accessing all digital solutions offered by AOK.
For further information, please refer to our media report.
T‑Mobile US. In the United States, T‑Mobile US concluded a ten-year framework agreement with the U.S. Navy in June 2024 to supply wireless communication technology for maritime operations. The contract includes voice, data, fixed wireless access (FWA), Internet of Things, and mobility management solutions. It will help ensure robust and reliable connectivity for government activities.
Products, rate plans, and services
UEFA EURO 2024™. The European soccer championships in Germany from June 14 to July 14, 2024 were a huge success for us as the official partner for telecommunications services and media rights. Over this period, more than 70 million people watched the matches on MagentaTV, the only platform to broadcast all 51 games live. Our mobile network remained stable under high pressure, handling a total of around 260 million gigabytes of data Germany-wide throughout the month of matches. This was helped by the around 750 new 5G antennas we had installed in all ten stadiums to significantly enhance our network capacities. Our mobile customers were able to activate unlimited data via the MeinMagenta app for the entire tournament and benefit permanently from our 5G network at no cost.
For further information, please refer to the topic special on our website.
Separate fiber-optic offerings. We launched our new fiber rate plans on July 2, 2024, all of which offer upload speeds at half that of the download speeds. For instance, the mid-level plan offers 600 Mbit/s for download and 300 Mbit/s for upload. Faster uploading rates are advantageous for data-intensive applications like video conferencing and online gaming.
New 5G smartphone generation. The new T Phone 2 and T Phone 2 Pro smartphones have been available to buy since May 23, 2024 in ten countries across Europe including Germany, as well as at T‑Mobile US under the REVVL brand. The new models were developed in partnership with Google and offer major enhancements including a powerful processor, alongside a strong emphasis on sustainability.
For further information, please refer to our media report.
Awards
Networks. We have once again been voted #1 in the Connect readers’ choice 2024 (German only) in the categories “mobile network operator,” “network operator prepaid cards,” “fixed-network operator,” and “IPTV services.” Our secondary brand congstar won in the category “mobile communications provider.” Our national company Hrvatski Telekom has the best mobile network in Croatia according to independent testing by the Croatian authority HAKOM.
Business Customers. We are again overall winner of the Connect customer barometer internet provider B2B 2024 (German only) from April 2024 with our outstanding business customer offerings, in particular in the “customer service” and “brand/provider” categories.
Investor relations. Deutsche Telekom is a winner of the German Investor Relations Prize 2024 (German only) in the category “best IR communication by IR professionals.”
For information on awards for responsible corporate governance, please refer to our website and our 2023 CR Report.