UPC has agreed a deal with mobile phone company Three Ireland which will see it enter the Irish mobile market next year.

The television, broadband and phone company has signed a mobile virtual network operator (MVNO) agreement with Three.

The deal comes after the European Commission approved Three's acquisition of O2 Ireland earlier this week and had been expected.

The Commission had said that Three will have to sell up to 30% of the merged company's network capacity to two mobile virtual network operators to meet competition concerns.

MVNOs are third parties which offer services through the networks of competitors. 

"This is a strategic and exciting agreement which gives UPC the opportunity to provide another extraordinary product to consumers with the launch of mobile and to become a fully-fledged quad-play services provider," commented Magnus Ternsjo, chief executive of UPC Ireland.

Robert Finnegan, CEO of Three Ireland, said that today's deal "further reinforces how Three's acquisition of O2 Ireland will help drive competition by facilitating new entrants into the market, such as UPC".