Sprint Working on Potential T-Mobile US Purchase

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Original poster
Apr 12, 2001
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Sprint is preparing a possible bid for T-Mobile US, reports The Wall Street Journal. If permitted by antitrust regulators, a potential merger between the two companies would result in just three major carriers in the United States.

Depending on the stake that Sprint attempts to buy, the deal could be worth more than $20 billion. While Sprint is still looking into regulatory concerns, a bid could potentially come as early as the first half of 2014.
Sprint hasn't yet decided whether to move ahead with a bid. Going forward despite regulators' concerns would be highly risky. Any pursuit of a bid by Sprint could be aimed at testing antitrust officials' reaction to a deal, and a bad reaction could put an end to the effort.
Currently, T-Mobile US, which operates under the T-Mobile, MetroPCS and GoSmart brands, is the fourth largest carrier in the United States with 45 million customers, while Sprint is the third largest carrier with 54 million customers. Combined, the two companies would be come close to reaching the subscriber numbers of the larger carriers in the U.S., Verizon and AT&T, at 119 million and 108 million customers each, respectively.

Sprint and T-Mobile have each struggled to keep up with competitors like Verizon and AT&T, which have been able to implement much larger LTE networks. A merger between the two companies would likely see significant service improvements for customers, due to a larger network infrastructure and the means to make additional spectrum purchases.

Both Sprint and T-Mobile offer perks unavailable on other networks, such as T-Mobile's "UnCarrier" plans that divorce device costs from plan costs and Sprint's unlimited data plans. Sprint and T-Mobile currently operate using different technologies, as Sprint is a CDMA network while T-Mobile is GSM.

It is unclear whether a merger between Sprint and T-Mobile will be permitted, as AT&T previously tried to purchase T-Mobile US in 2011. The Federal Communications Commission and the Department of Justice both made moves to block the transaction, putting an end to the acquisition. AT&T had planned to pay $39 billion in cash and stock for the company.

According to the report, Deutsche Telekom AG, which owns approximately 67 percent of T-Mobile US, is looking to exit the U.S. market.

Article Link: Sprint Working on Potential T-Mobile US Purchase
 

psykick5

macrumors 6502
Sep 4, 2011
350
0
It would be a tougher merger due to different cell bands and technologies, but overall I think it would be a good thing so they can finally knock on the doors of Big Red and AT&T and finally do some competing to bring the overall costs to consumers down.
 

dan1000

macrumors newbie
Mar 10, 2008
24
0
I'd far prefer it the other way around, with T-Mobile buying Sprint. Size difference? Sure, but T-Mobile is related to Deutsche Telecom, which is plenty big enough.
 

3282868

macrumors 603
Jan 8, 2009
5,281
0
No. We need more competition, not less. AT&T should not have been allowed to purchase the only other GSM carrier in the U.S., thankfully the days of "Ma Bell" taught us a lesson. I certainly hope this lesson sticks.
 

Col Ronson

macrumors 6502a
Aug 7, 2008
619
2
what a hilariously terrible idea. Two completely opposite networks trying to integrate, haha what a joke. Sprint just wants Tmobile's far superior LTE network.
 

bigjnyc

macrumors 603
Apr 10, 2008
6,435
3,563
Wait a minute wasn't the CEO of Sprint one of the most outspoken people trying to ban the AT&T - Tmobile takeover? But yet now he is trying to do the same thing? He even went as far as to say that if the government allowed this it would be an outrage and a disservice to consumers. :rolleyes:
 

kwikdeth

macrumors 65816
Feb 25, 2003
1,041
1,387
Tempe, AZ
wow. talk about mismanagement. did they completely forget the nightmare that was the Nextel merger? Sprint was reeling from that boondoggle for years.

if sprint bought tmobile i'd honestly consider going back to ATT.
 

DBZmusicboy01

macrumors 6502a
Sep 30, 2011
936
391
*********
If that happens WE ALL MUST PROTEST THIS RIDICULOUS MESS...I am sick of greedy companies over charging everyone for their terrible network.
 

brendu

macrumors 68020
Apr 23, 2009
2,421
2,352
USA
It would be a tougher merger due to different cell bands and technologies, but overall I think it would be a good thing so they can finally knock on the doors of Big Red and AT&T and finally do some competing to bring the overall costs to consumers down.
I disagree. If this is allowed to happen the merged company will be big enough to compete with the att/vz and more than likely their rates will rise, not the other way. Merging mega companies is BAD for the consumer.
 

Konrad9

macrumors 6502a
Feb 23, 2012
560
38
Nah, it's cool, I didn't want competition anyways. Bring on the monopoly!

However I find it hilarious that everyone here who wants Samsung killed and for Apple to be the only phone/tablet/pc/tv/watch manufacturer now suddenly don't like monopolies. Ignorance is bliss.
 

mj1108

macrumors 6502a
Apr 7, 2007
611
374
California

Reason077

macrumors 68020
Aug 14, 2007
2,231
785
Just say NO

The US needs more competition between carriers, not less. This is exactly the sort of thing that antitrust laws were invented to prevent!
 

DMaki650

macrumors 6502
Jun 23, 2010
345
156
Rhinelander, WI
UGH I just don't care anymore. I'm tired of people complaining about it and I'm tired of companies trying to buy each other out. As long as I can make calls and or text I just don't care.
 

gretafour

macrumors regular
Aug 26, 2006
125
238
Rochester, NY
I was very happy when the AT$T + T-Mobile merger was blocked. Gave me a little bit of faith in the anti-trust ability of the US government. Since then T-Mo has gone on to shake up the market pretty substantially. Alas, I can somehow see them allowing this to go forward. Would be bad news in a market already severely lacking in healthy competition. :(
 

TMay

macrumors 68000
Dec 24, 2001
1,520
1
Carson City, NV
Nah, it's cool, I didn't want competition anyways. Bring on the monopoly!

However I find it hilarious that everyone here who wants Samsung killed and for Apple to be the only phone/tablet/pc/tv/watch manufacturer now suddenly don't like monopolies. Ignorance is bliss.
Apple isn't a monopoly.

You might try a monopsony.
 

topgunn

macrumors 65816
Nov 5, 2004
1,462
1,342
Houston
I would be interested in a carrier that would allow me to use both GSM and CDMA towers interchangeably on one device.
 

StuddedLeather

macrumors 6502a
Apr 20, 2009
940
100
Brooklyn, NYC
Ugh. Why do people act like this is such a big surprise?

According to the report, Deutsche Telekom AG, which owns approximately 67 percent of T-Mobile US, is looking to exit the U.S. market.
For years the majority owner wanted out of the US market. YEARS. If this doesn't go through Verizon could try or DT will just drop TMO US all together. It's inevitable. They should've let the AT&T merger to happen. . . .
 

Delorean2006

macrumors 6502a
Feb 4, 2012
768
203
Really? of course sprint would be huge Hippocrates and say ATT would be too big if they got TMobile and of course they would turn around and try to buy tmobile, just another reason for me to hate sprint, i just do not like these rumors one bit
 

Small White Car

macrumors G4
Aug 29, 2006
10,901
1,163
Washington DC
I have mild concerns about either Sprint or T-Mobile surviving long term without merging.

All of you who are so opposed to having only 3 carriers: Have fun when it goes down to just 2.
 
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