The UK Competition and Markets Authority has launched an in-depth investigation into Netomnia's acquisition of nexfibre, putting the fibre deal on a longer regulatory track than either party would have liked.

Netomnia's chief executive has gone on the front foot, publicly defending the transaction as the watchdog begins its formal review. The CMA confirmed the move to a Phase 2 probe, the agency's standard procedure when first-pass concerns are not resolved.

What the headline actually says

Strip it back and there are three things in play. Netomnia wants to buy nexfibre. The CMA is not satisfied that a quick clearance is the right answer. And the buyer's CEO is already out in public making the case that this is good for the market.

That is the minimum the deal needs to survive, and the maximum the agency typically allows in a high-stakes fibre consolidation.

How CMA in-depth reviews work

A Phase 2 review is the second and more serious stage of UK merger control. It kicks in when the regulator identifies a realistic risk that a transaction could substantially lessen competition in the relevant market.

The process typically runs for 24 weeks, with the option to extend by up to eight weeks in complex cases. The CMA gathers evidence, consults third parties, and can demand remedies, block the deal, or clear it with conditions.

For telecoms infrastructure deals, the bar is rarely low. Fibre networks have a habit of becoming essential facilities, and the regulator tends to apply that logic with vigour.

Why Netomnia wants it

Nexfibre operates as a wholesale fibre platform with significant UK coverage. Acquiring it gives Netomnia access to scale and footprint that would take years to build organically.

That is precisely the kind of consolidation logic the CMA now treats with suspicion. Combining a challenger altnet with a major wholesale platform can foreclose rivals from key inputs.

Why the CEO is talking early

Netomnia's CEO defending the deal in public, rather than waiting for the CMA's issues statement, is a tell. Companies that expect a clean bill of health tend to stay quiet and let the regulator talk first.

Companies that expect remedies tend to shape the narrative early. A public defence doubles as a soft signal that the buyer is ready to discuss concessions before the agency has to ask.

What happens next

The CMA will publish an issues statement setting out its competition concerns. It will invite comments from customers, competitors, and Ofcom. Eventually it will issue a final report, either clearing the deal, accepting remedies, or blocking it outright.

For Netomnia, the clock matters. A 24-week review window is roughly three times the length of the standard 40-working-day first-stage process, leaving both sides with a long calendar to manage. The CEO's early media presence suggests the company is not planning to wait for the verdict to start winning those arguments.

Netomnia, naturally, is betting that scale settles the argument. The CMA is betting the argument is bigger than scale. The next few months will show which side moves first.