Dow Jones reports AT&T (T -1%), long rumored to be weighing a bid for Vodafone (VOD -1.1%), isn't thrilled with Vodafone's efforts to grow its cable assets via M&A, and would prefer the company focus on mobile.
Vodafone, which just closed the Verizon Wireless deal, has been eying European wireline carriers as part of an effort to offer an end-to-end suite of telecom services in EU markets.
The company gobbled up German cable provider Kabel Deutschland last year for $14.2B, and reportedly made a failed bid this year for Spanish cable giant ONO. There have also been rumors Vodafone is open to a bid for U.K. satellite TV/broadband provider BSkyB.
Last month, AT&T gave up the opportunity to bid on Vodafone for six months, but is still reportedly open to making an offer afterwards.
Vodafone shares have ticked lower on the report.