Sprint and T-Mobile Aiming to Reach Merger Deal Next Week

[MacRumors]

Earlier this month, reports suggested Sprint and T-Mobile had once again resumed merger talks, and now it appears the two U.S. carriers may be close to inking a deal.

According to Reuters, Sprint and T-Mobile have "made progress" negotiating merger terms and are aiming to complete deal talks as soon as next week.

T-Mobile parent company Deutsche Telekom and Sprint parent company SoftBank are said to be discussing an agreement that would "dictate how they exercise voting control over the combined company."

This could allow Deutsche Telekom to consolidate the combined company on its books, even if it does not have a majority stake in the combined company, one of the sources added. Deutsche Telekom owns more than 63 percent of T-mobile, while SoftBank owns 84.7 percent of Sprint.

Previous merger talks between Sprint and T-Mobile failed after the two companies were unable to reach "mutually agreeable terms." Sprint parent company SoftBank was said to be unsatisfied with the deal because of ownership terms, with SoftBank concerned about losing control of the combined company after Deutsche Telekom requested a controlling stake.

If T-Mobile and Sprint are able to establish a satisfactory deal, the combined company would have more than 100 million customers.

Sources that spoke to Reuters said there is "no certainty" a deal will be reached, given the dissolution of the previous merger talks.

Article Link: Sprint and T-Mobile Aiming to Reach Merger Deal Next Week

 

[augustrushrox]

Bad for consumer choice.

 

[neoelectronaut]

Here's hoping my T-Mobile bill doesn't go up. Loving that $72 a month unlimited for 2 lines.

 

[barkomatic]

On one hand a merger of Spring and T-mobile might combine to make a real competitor to Verizon and AT&T but on the other it would make it easier for the three to collude.

Sprint may fail eventually anyway though they limp along.

 

[EW800]

Not good for consumers....

 

[lyngo]

This is bad, bad news, I feel for people in the long run.

 

[BeforeTheMeds]

Here's hoping my T-Mobile bill doesn't go up. Loving that $72 a month unlimited for 2 lines.

Me too except 2 lines unlimited for 60.00.

 

[cmwade77]

I really hope this falls through and luckily, even if they can ink a deal, the regulators could still block it, here's hoping that they do. This is a bad idea all the way around.

 

[michael31986]

Why would this be bad for consumers. T mobile and Sprint have cheapest rates.

 

[neoelectronaut]

Me too except 2 lines unlimited for 60.00.

Dang, nice. The lowest I can manage is $64, and that's if my wife uses less than 2GB of data by some miracle.

 

[oldhifi]

Hopefully they will put up more towers in rural areas..

 

[Kingrsmchugh]

I wouldn’t worry to much about competition. In a few years amazon, google and Apple will probably all be carriers.

 

[Andres Cantu]

If this means better 5G for the future than T-Mobile or Sprint could bring by themselves to their customers, then by all means merge. I suppose a triopoly is better than a duopoly. And there's certainly places in my area where Sprint gets signal and T-Mobile doesn't, and vice-versa.

 

[cmwade77]

Why would this be bad for consumers. T mobile and Sprint have cheapest rates.

Because Sprint has the worst customer service of just about any company I have dealt with (United Airlines takes the cake for the absolute worst though) and it would reduce competition, which will result in them raising prices.

 

[MattMJB0188]

I feel like this is just to "save Sprint" so they don't go bankrupt. T-Mobile is doing exceedingly well now. They don't need Sprint. Not to mention... that's just going to put a really bad taste in people's mouths. Sprint needs to die, period.

 

[btrach144]

Nobody would win in this situation. +1 for T-Mobile doing well enough. Sprint is only going to drag them down.

 

[0007776]

Why would this be bad for consumers. T mobile and Sprint have cheapest rates.

Less competition. The combined company could more easily raise its rates to be comparable to AT&T or Verizon.

 

[xero9]

I used to dread the day as a person who used T-Mobile when visiting the US. Now their PAYG plans stink for short visits. Let the merger take place!

 

[radiology]

This seems like an attempt to put lipstick on a pig (or two in this case).

 

[OldSchoolMacGuy]

10th times a charm, right?
[doublepost=1524787484][/doublepost]

Why would this be bad for consumers. T mobile and Sprint have cheapest rates.

Less competition. Less competition means less incentive for the combined company to offer good rates. They can simply raise their rates to those of AT&T and Verizon. Don't like it? Who else you gonna go to?

 

[Apple_Robert]

Less competition. The combined company could more easily raise its rates to be comparable to AT&T or Verizon.

Let the free market decide which companies it wishes to use. We don’t need the gubmint stepping in to dictate.

It’s not like T-Mobile or Sprint towers and service would disappear from a merger.

 

[HutNews]

I wouldn’t worry to much about competition. In a few years amazon, google and Apple will probably all be carriers.

Google already is, Facebook next, then Apple

 

[PeterL111]

Bad idea? I don’t know what Sprint has been doing but whenever I pass by their store, it is often empty. Better a merger than declare bankrupt.

 

[UnusedLoginID]

No, no, no…! Sprint is a big mess, their activation policies are a mess - ever tried switching a Sprint SIM card to a new phone? It never works, you always have to call them! -, they use a technology (CDMA) that’s unique (US only) and proprietary (Qualcomm anyone…?), they’re bleeding money, etc… etc…
T-Mobile doesn’t know what they’re getting into, the merger will kill them!
How do we tell Légère that Sprint is a scam?

 

[Kpeterk2444]

I think everyone is missing the point. Sprint has a lot of spectrum assets that can be very useful in deploying 5G networks and competing better with Verizon and AT&T. Regardless of what you think of the anticompetetive aspect, both T-Mobile and Sprint customers would benefit from this. T-Mobile's network would gain the use of extra spectrum for faster data speeds, etc. Sprint customers would benefit from better coverage and a company looking to expand its footprint to better compete in the marketplace.