According to the latest reports, US giant AT&T might be preparing a bid to acquire rival, Vodafone for the next year aiming to create a global telecom giant.

Some believe that AT&T will launch its bid next year to create a $250 billion global telecom service provider. The deal might also include selling the British group's African and Indian businesses. It is believed that the AT&T was in talks with Vodafone's US partner Verizon but Vodafone decided to sell its stake in the American venture to Verizon Wireless.

Leading American telecom carrier, Verizon said that it has agreed to 45 per cent stake in Verizon Wireless to take control of the venture. The deal, which has been on the planning board for Verizon for some time, was valued at $130 billion. AT&T's interest in Vodafone is mainly due to its plans to enter the European market, where Vodafone has a strong presence.

Amid reports about the bid, the shares of Vodafone rose 8p, or more than 3 per cent helping the FTSE 100 index close in the positive territory for the week. The benchmark index rose 3.31 points to 6734.74.