AT&T’s “Ooops” Damages Their Biggest Argument In Favor Of T-Mobile Takeover

AT&T’s Thursday filing to the FCC related to the T-Mobile USA takeover was accidentally not redacted allowing for some details to come out that they likely would have preferred to stay private. AT&T unintentionally revealed that it would cost them $3.8 billion in additional capital expenditures to build out their LTE network from the 80% percentage they already planned on to the 97% they want to build. The document was accidentally posted on the FCC website by AT&T’s law firm and has since been pulled.

“AT&T senior management concluded that, unless AT&T could find a way to expand its LTE footprint on a significantly more cost-effective basis, an LTE deployment to 80 percent of the U.S. population was the most that could be justified,” AT&T counsel Richard Rosen stated in the letter.

The company said its merger with T-Mobile would spread the cost of the LTE expansion over a larger revenue base, allowing it to “better absorb the increased capital investment and lower returns associated with deploying LTE to over 97 percent of the U.S. population.”

So let’s get this right? Spending $3.8 billion to cover an additional 55 million people is too high of a price tag and isn’t sound economics but paying $39 billion PLUS the $3.8 billion it will still need to spend in order to build out that additional 17% is a viable economic model?

AT&T stands fast to its argument that the spectrum is their biggest gain from any T-Mobile deal, however Sprint has already shown AT&T how they can use their existing spectrum to achieve the same goals. Is AT&T really trying to avoid a resurgent Sprint from partnering/buying/merging with T-Mobile and creating a viable third place competitor that could pressure AT&T and Verizon into a price war? What is causing AT&T to all of a sudden be financially prudent about deploying an extra 17% of LTE but then spending 10 times that amount to pick up a rival?

AT&T said that the leaked letter doesn’t contradict their earlier arguments about needing to pick up T-Mobile’s spectrum for competitive reasons.

“There is no real news here,” said AT&T spokeswoman Margaret Boles in a statement provided to Wireless Week. “The confidential information in the latest letter is fully consistent with AT&T’s prior filings. It demonstrates the significance of our commitment to build out 4G LTE mobile broadband to 97% of the population following our merger with T-Mobile. Without this merger, AT&T could not make this expanded commitment. This merger will unleash billions of dollars in badly needed investment, creating many thousands of well-paying jobs that are vitally needed given our weakened economy.”

What say you? Is AT&T caught in a lie or are they sticking to their main argument that T-Mobile is a necessary purchase in order for AT&T to rollout LTE?

WirelessWeek via GigaOM

Additional reading: The Atlantic Wire

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  • Anonymous

    lmao.  

    Oops indeed.

  • Anonymous

    lmao.  

    Oops indeed.

  • Anonymous

    lmao.  

    Oops indeed.

  • Anonymous

    lmao.  

    Oops indeed.

  • Anonymous

    lmao.  

    Oops indeed.

  • Sublime

    everyone knows theyre full of crap

    • Anonymous

      Problem is the DoJ and FCC won’t really care in the end.

    • Anonymous

      Problem is the DoJ and FCC won’t really care in the end.

  • Sublime

    everyone knows theyre full of crap

  • Sublime

    everyone knows theyre full of crap

  • Sublime

    everyone knows theyre full of crap

  • http://twitter.com/luke911 Jeromy L

    This is the exact same rhetoric that comes from washington. With facts staring them directly in the face they somehow can see past it using their own distorted views. Always saying the sky is pink when it’s obvious to everyone else it’s blue.

  • http://twitter.com/babydoll25 Babydoll25

    What a bunch of lying A$$h4ts……

  • http://twitter.com/babydoll25 Babydoll25

    What a bunch of lying A$$h4ts……

  • Anonymous

    How much more stupid can they get? LoL Talk about a total fail on their part.

  • Anonymous

    How much more stupid can they get? LoL Talk about a total fail on their part.

  • mikeedavis

    I don’t understand the argument, why are so many people opposed to the merger? Because you fear higher phone rates? If the merger goes through I’m sure you will be able to leave and join another low cost network. I keep reading people commenting negatively on the proposal and no one is really stating why they oppose it, please enlighten me.

    • http://www.facebook.com/people/Simon-Yu/100000989859895 Simon Yu

      Higher phone rates, lesser quality in handsets, lesser quality in service… the list goes on.

      • mikeedavis

        Less quality on handsets? Need I remind you of the lackluster “Cliq” and it’s terrible successor the “Cliq 2″ as of late T-Mobile has not been making an real game changing phones for a while and when they release phones they tend to forget about them, in terms of software updates and fixing various other glitches in the phones.

        • Anonymous

          Cliq and Cliq 2? Are you stuck in 2010? Did you miss the lineup of phones from this year? You can’t tell me that this new lineup isn’t game changing considering these phones are among the best out (Sensation, MT4GS, MT4G even). G2x doesn’t count because that was crap.

        • Ghuippt

          Mikedavis you are not very smart are you?

    • http://twitter.com/phonecount StalkyTheFish

      Just look at AT&T’s prices and particularly their terms of service and compare them to T-Mobile and you’ll find that the answer is pretty obvious.

      • mikeedavis

        Sure AT&T’s prices are higher but can anyone say with certainty that this will happen? Maybe it will but from the offset I see it happening years down the line. It’s not a switch they will switch on as soon as the merger is complete.

    • Anonymous

      After Sprint merges with Verizon , which will happen if this merger goes through , there will be only two national networks . The Crickets and Boost types have no network or spectrum & are being sued be Verizon on carrier roaming agreements . Thus all the talk of a duopoly .

    • http://twitter.com/xxmonkey92 Tulio Mesa

      ATT Last place in customer satisfaction

      Tmobile Number 1 in customer satisfaction (might be number two ever since this whole merger talk)

      If the merger goes through you can kiss goodbye variety of cellphones, you can kiss goodbye good network coverage. You can say hello to high prices for data lower data caps since ATT is so cheap with its 3G network what makes you think their going to be any broader with their LTE?

      ATT takes over Tmobile Prices will go nowhere but up because they need to make their 39 billion back. And if ATT becomes a bigger company then they already are, trust me prices will surely go up instead of down i mean look at Verizon their number one and their prices are already off the charts.

      Sure we can all go to Metropcs who is the only company so far thats actually making a name for themselves. But it wont matter because Verizon will soon buy them out too, and all that will be left if the top 3 till one of them decides to buy out sprint.

      Keep the big 4 and let ATT figure out its own so called spectrum shortage. 

      • mikeedavis

        So what I am to understand is that a lot of people don’t want the merger because they perceive a price hike? Have you not looked at it the other way, maybe AT&T will drop their prices (oh that’s right most don’t care about that, as you just see a hypothetical hike in T-Mobile’s prices). As for the variety of phones, AT&T’s variety has been growing as of late, while T-Mobile has been sort of stagnate. Sure they come out with an amazing phone every now and then but like all cell phone providers they too release lackluster phones every now and then.

        • Anonymous

          Prices WILL rise. They’re not going down any time soon especially since they need to make the 39 billion back plus the money they spent on lobbying, plus the money they’ll need to build out the network. 

          Sure prices will go down after all this is said and done (rolls eyes). I mean, this is AT&T we’re talking about.

        • Anonymous

          Prices WILL rise. They’re not going down any time soon especially since they need to make the 39 billion back plus the money they spent on lobbying, plus the money they’ll need to build out the network. 

          Sure prices will go down after all this is said and done (rolls eyes). I mean, this is AT&T we’re talking about.

      • mikeedavis

        So what I am to understand is that a lot of people don’t want the merger because they perceive a price hike? Have you not looked at it the other way, maybe AT&T will drop their prices (oh that’s right most don’t care about that, as you just see a hypothetical hike in T-Mobile’s prices). As for the variety of phones, AT&T’s variety has been growing as of late, while T-Mobile has been sort of stagnate. Sure they come out with an amazing phone every now and then but like all cell phone providers they too release lackluster phones every now and then.

    • RSA

      Substantial job loss, no competition so that’s why simon yu stated what he said, potential need to go to verizon for android phones cuz att has terrible ones/Iphone, they are liars, att and apple can final start their plan of world domination……

    • Anonymous

      * What other GSM phone provider is there?
      * Why should I be forced to CDMA?
      * Why should I have to change my phone in order to be compatible with only USA networks when the rest of the world is largely GSM?

      • http://ashn.myopenid.com/ Ash

        Took the words right outta my mouth.

      • http://ashn.myopenid.com/ Ash

        Took the words right outta my mouth.

      • mikeedavis

        That still doesn’t answer my question, from what I gather your only real argument at this time is that AT&T will become the only GSM provider in America, the only thing I can see from this is that people generally don’t like AT&T. The fact that people think AT&T will charge more is just speculation at this point in time, sure they may charge more for their phone service but it’s a bit premature to use that as a main argument against the merger.

        I have yet to read anywhere that you will have to buy a new phone, at least in the offset of the merger. In fact I have seen it said that should the merger become complete if will take years for AT&T to completely overhaul the network thereby making T-Mobile’s phones obsolete and ineffective.Now the baffling part of your list of questions is “Why should I have to change my phone in order to be compatible with USA-only networks when the rest of the world is largely GSM?” T-Mobile USA is on an odd GSM frequencies that is not compatible in most places in the world (assuming you don’t have a “World Phone”), meaning you go abroad and you get lack luster 2G speeds, AT&T’s GSM frequencies are far more compatibly with other world networks, so therefore your question about this is unfounded.Also I have done my own research and I believe that I will just wait and see what happens, I see T-Mobile as a dying network, they are losing and have been losing post-paid subscribers left and right for at least the last 12 months. The fact is a lot of you people aren’t understanding that T-Mobile needs this merger just as much as AT&T needs it. So I believe that everyone has their own opinion, I believe that a lot of people cried fowl as soon as they heard of the merger, so while you stated a lot of question you never really gave me an answer to my question; why are so many people opposed to the merger?

        • Nuttinnyce951

          You’ve been giving reasons in people’s responses to your post. Clearly your an at&t employee or advocate so there is no point in explaining anything to you.

        • mikeedavis

          I am not an advocate for the merger, however I just choose not to blindly object to things without knowing the facts. I have not ever been an AT&T employee or subscriber (it wouldn’t make sense for me to be on a site called tmonews if I was one). I have been with T-Mobile for 3 years now and while I’m enjoying my time with them, and I do not see myself leaving T-Mobile anytime soon, no one has articulately or cohesively explained why there’s opposed to the merger.

        • mikeedavis

          I am not an advocate for the merger, however I just choose not to blindly object to things without knowing the facts. I have not ever been an AT&T employee or subscriber (it wouldn’t make sense for me to be on a site called tmonews if I was one). I have been with T-Mobile for 3 years now and while I’m enjoying my time with them, and I do not see myself leaving T-Mobile anytime soon, no one has articulately or cohesively explained why there’s opposed to the merger.

        • Anonymous

          You obviously have NOT done your research as all T-Mobile AWS phone are also UMTS I compatible. Also proven myself in Japan, France, and Italy. That’s world-3G translated for you.

          AT&T’s GSM frequencies are no more (nor less) world-compatible than T-Mobile’s. Since ou you can’t figure this out, neither AT&T or T-Mobile’s GSM frequencies are world-compatible. That’s why they’re quad-band to support the rest of the world.

          Btw, you justified my point already: “overhaul the network thereby making T-Mobile’s phones obsolete and ineffective”. There’s people that don’t need switch out phones every 2 years, 6 months, or Friday.

          If you also done some research, you’ve noticed that T-Mobile subscriber loss has been narrowing and they’ve been making profit quarter after quarter. Regurgitating marketing PRs isn’t fact.

          So you’ve been more than answered, but you refuse to accept the answers.

          Go back and do more research.

    • Anonymous

      * What other GSM phone provider is there?
      * Why should I be forced to CDMA?
      * Why should I have to change my phone in order to be compatible with only USA networks when the rest of the world is largely GSM?

  • mikeedavis

    I don’t understand the argument, why are so many people opposed to the merger? Because you fear higher phone rates? If the merger goes through I’m sure you will be able to leave and join another low cost network. I keep reading people commenting negatively on the proposal and no one is really stating why they oppose it, please enlighten me.

  • Anonymous

    Of course, the govt won’t call them out on this because every single one of those lying, double crossing, power ties in Washington is in bed with them.

  • Anonymous

    I hope it gets blocked and ATT loses billions that they guaranteed.  T-mobile takes the money and destroys ATT. 

  • alt-mobile

    Carly better work on her tan if she wants to look good in blue and white..

  • http://twitter.com/xxmonkey92 Tulio Mesa

    ATT is filled with liars. 

    If this merger goes on only the gods will know what will happen with cellphone quality and competition. ATT is already bad enough we dont need to add more spectrum to their shitty network.

  • Fociz

    All I saw was Blah..Blah..Blah..Blah..Blah!

  • Anonymous

    Like i said, they ran out of lies and now they are just telling the truth.  Oh ATT you are so silly!

    • Anonymous

      Lol

    • Anonymous

      Lol

  • http://www.boymeetsphone.com Yossarian Norman

    I do believe someone needs to grab the extinguisher as AT&T’s pants are on fire.

    • Anonymous

      Or walk passed the extinguisher nonchalantly and let them burn! Hahaha

    • Anonymous

      Or walk passed the extinguisher nonchalantly and let them burn! Hahaha

  • http://twitter.com/josemedina1983 Jose Medina

    Just finish the deal already! T-Mobile is just doing everything possible to make this merger possible. T-Mobile lost the JD Power award, losing god knows how many costumers to give this image that they can’t compete and they are a struggling company, No marketing for the G2x,Sensation,MT4g Slide Screwing G2x owners with faulty devices and not taking this faulty devices back to LG instead of taking the heat I can go on and on but T-Mobile is pissing people off so people stop b*tching about the merger and give ppl this broken image about T-Mobile.

  • Anonymous

    I don’t see what so hard to understand here. $3.9 billion spent against their existing income, or $39 billion to pick up millions more customers — and the existing network and tower location leases and on and on.

    Sure it sucks, AT&T is like this frigging ambulatory stalker-cancer that I just can’t seem to get away from for more than a year or two… but the financial part is pretty easy to think through.

  • http://twitter.com/Mrt1connect Mrt1connect

    Both att and dt should face the justice department for lying to us…..bastards, just a bunch of greedy bastards

  • http://www.facebook.com/profile.php?id=507041011 James McPartland

    LYING SACKS OF…….

  • Rush8220

    What’s not to understand if at&t is allowed to buyout T-Mobile to put it in simple term they an two other companys will have complete control over what you spend every month. If you think at&t an Verizon are expensive now let this deal go through not to mention what damage it will do to our economy loss of employment an other issues.

  • Mr. MN

    Isn’t this why the government is investigating this deal? If you asked me I’d say AT&T has already made the FCC and DOJ work easier. Somehow I’m getting a bad feeling about this one. Something tells me that AT&T has handed out a lot of money so this still has a chance of passing. It will be a sad day in the wireless industry, for the workers at T-Mobile, and finally for the customers.

  • http://www.unscripted360.com Deacon

    am i the only one tired of hearing about this?  we’re damned if they do and we’re damned if they don’t.  there is no win in this situation for ATT or TMO customers.

  • Jhartsb

    I don’t see why everyone is getting so worked up about the merger. Mergers happen all the time and this one is no different from the others. Yes it will eliminate one major carrier but it will allow others (metropcs, us cellular, and even sprint) to thrive. Also its not like there is only four major carriers in the world. Who knows maybe a carrier from over seas will want a part of the us market. Either way tmobile wants out of the us so if AT&T or another carrier gets them you will still have to say goodby to tmobile.

  • Jhartsb

    I don’t see why everyone is getting so worked up about the merger. Mergers happen all the time and this one is no different from the others. Yes it will eliminate one major carrier but it will allow others (metropcs, us cellular, and even sprint) to thrive. Also its not like there is only four major carriers in the world. Who knows maybe a carrier from over seas will want a part of the us market. Either way tmobile wants out of the us so if AT&T or another carrier gets them you will still have to say goodby to tmobile.

    • Jhartsb

      I meant if AT&T or another carrier doesn’t get them you will still hae to say goodby to tmobile.

      • oops

        well im sure tmo can do a lot with the 6 billion breakup deal lol

      • oops

        well im sure tmo can do a lot with the 6 billion breakup deal lol

        • IT Guy

          Unfortunately that $6b is going to go to Deutsche Telekom and not T-Mobile USA. I doubt that they’d put a penny of it back into the subsidiary they’re trying their hardest to get rid of.

        • IT Guy

          Unfortunately that $6b is going to go to Deutsche Telekom and not T-Mobile USA. I doubt that they’d put a penny of it back into the subsidiary they’re trying their hardest to get rid of.

        • IT Guy

          Unfortunately that $6b is going to go to Deutsche Telekom and not T-Mobile USA. I doubt that they’d put a penny of it back into the subsidiary they’re trying their hardest to get rid of.

        • oops

          part of the 6b was that they would acquire some of att spectrum. so your saying tmo wouldn’t be able to use it because it would be sent to DT in Europe to use? lol

        • IT Guy

          LOL I’m talking about the cash part.

          As I see it, DT is dead set on finding a buyer and getting out of here. I don’t think they’d throw new money into T-Mo USA if they can’t get it back out with a sale. Like spending an extra $1000 fixing a car that you’ve got for sale, just so you can get an extra $500 from a buyer.

        • IT Guy

          LOL I’m talking about the cash part.

          As I see it, DT is dead set on finding a buyer and getting out of here. I don’t think they’d throw new money into T-Mo USA if they can’t get it back out with a sale. Like spending an extra $1000 fixing a car that you’ve got for sale, just so you can get an extra $500 from a buyer.

        • IT Guy

          Unfortunately that $6b is going to go to Deutsche Telekom and not T-Mobile USA. I doubt that they’d put a penny of it back into the subsidiary they’re trying their hardest to get rid of.

    • Jhartsb

      I meant if AT&T or another carrier doesn’t get them you will still hae to say goodby to tmobile.

    • Jhartsb

      I meant if AT&T or another carrier doesn’t get them you will still hae to say goodby to tmobile.

    • no more coffee

      yea difference here is like starbucks merging with caribou, when theres always more coffee. In this case a tmo att merger theres no more spectrum, so no chance of a new competitor to enter the market 

    • no more coffee

      yea difference here is like starbucks merging with caribou, when theres always more coffee. In this case a tmo att merger theres no more spectrum, so no chance of a new competitor to enter the market 

    • no more coffee

      yea difference here is like starbucks merging with caribou, when theres always more coffee. In this case a tmo att merger theres no more spectrum, so no chance of a new competitor to enter the market 

  • Jhartsb

    I don’t see why everyone is getting so worked up about the merger. Mergers happen all the time and this one is no different from the others. Yes it will eliminate one major carrier but it will allow others (metropcs, us cellular, and even sprint) to thrive. Also its not like there is only four major carriers in the world. Who knows maybe a carrier from over seas will want a part of the us market. Either way tmobile wants out of the us so if AT&T or another carrier gets them you will still have to say goodby to tmobile.

  • Anonymous

    Question I would like to ask the AT&T spokeswoman Boles: Exactly how many jobs that currently exist at T-Mobile will be eliminated vs. the creation of “many thousands of well-paying jobs that are vitally needed given our weakened economy?”

  • Anonymous

    Question I would like to ask the AT&T spokeswoman Boles: Exactly how many jobs that currently exist at T-Mobile will be eliminated vs. the creation of “many thousands of well-paying jobs that are vitally needed given our weakened economy?”

    • Dominic

      What they should ask is how many jobs are already lost because of this possible merger.  In our call center we have seen a reduction of over 50% of the reps (over 600 to under 300) there and the same is happening across the nation.  T-mobile has frozen hiring since the merger was announced and hoping attrition depletes the workforce, so when the merger is ready to go through then they can say that xxxx jobs were lost/gained through the merger but the numbers lost already are substantial.  Wonder why they made it so hard to call in for support or your getting more Filipino reps when you call in?  Right, their setting up for the merger.

    • Dominic

      What they should ask is how many jobs are already lost because of this possible merger.  In our call center we have seen a reduction of over 50% of the reps (over 600 to under 300) there and the same is happening across the nation.  T-mobile has frozen hiring since the merger was announced and hoping attrition depletes the workforce, so when the merger is ready to go through then they can say that xxxx jobs were lost/gained through the merger but the numbers lost already are substantial.  Wonder why they made it so hard to call in for support or your getting more Filipino reps when you call in?  Right, their setting up for the merger.

      • Lo

        I agree that jobs have already been lost. Many at the call center that I worked at which may have been yours(wichita) were fired shortly after the announcement. This is not a merger. And tmobile is downsizing and trying to make itself look financially better.

        • Dominic

          Not Wichita, but don’t want to give the location.  From what you said does continue to show it’s happening at all call centers.

        • the_truth

          My call center also has dropped almost 50% of employees. We have Sr. Reps stepping down to take calls.

        • Dominic

          Not Wichita, but don’t want to give the location.  From what you said does continue to show it’s happening at all call centers.

        • Dominic

          Not Wichita, but don’t want to give the location.  From what you said does continue to show it’s happening at all call centers.

      • PatheticLoser

        I can tell you retail is hiring. I’m looking for a couple of sales reps right now.

        • the_truth

          Make sure you tell them it’s a temporary position.

      • PatheticLoser

        I can tell you retail is hiring. I’m looking for a couple of sales reps right now.

      • Anonymous

        Yep. And the way call center metrics are handled (you can think of it as grading on a curve) you can rely on firing the bottom 5-10% every month for “performance” reasons.

  • Anonymous

    Question I would like to ask the AT&T spokeswoman Boles: Exactly how many jobs that currently exist at T-Mobile will be eliminated vs. the creation of “many thousands of well-paying jobs that are vitally needed given our weakened economy?”

  • Anonymous

    AT&T has been lying from the beginning of this transaction.  Their goal is to just remove competition with cash instead of battling things out fair.  I still think T-Mobile is AT&T’s biggest competitor.  Anyone back in the day who had AT&T and disliked them moved to T-Mobile.  T-Mobile has always been a sanctuary for former AT&T customers and I’m sure AT&T knows that.

  • Anonymous

    I wouldn’t say they are necessarily lying here as much as taking the most profitable way to meet their goals.  The $39 billion is a far better deal for AT&T than paying out hard cash for a build out.

    With the $39 billion dollar deal their userbase increases tens of millions reducing their costs.  They gain a vast amount of compatible infrastructure and spectrum some of which they can reduce to save costs.  They eliminate one competitor in the wireless market.  They reduce staffing by tens of thousands of employees saving them billions.    They divest assets of probably $8 to $10 billion.

    When all is said and done they probably get paid to do their build out instead of shelling out cash and enduring a long and hard build out.

  • Anonymous

    I wouldn’t say they are necessarily lying here as much as taking the most profitable way to meet their goals.  The $39 billion is a far better deal for AT&T than paying out hard cash for a build out.

    With the $39 billion dollar deal their userbase increases tens of millions reducing their costs.  They gain a vast amount of compatible infrastructure and spectrum some of which they can reduce to save costs.  They eliminate one competitor in the wireless market.  They reduce staffing by tens of thousands of employees saving them billions.    They divest assets of probably $8 to $10 billion.

    When all is said and done they probably get paid to do their build out instead of shelling out cash and enduring a long and hard build out.

    • Anonymous

      Uh, it’s not compatible spectrum, QED.

      They have to basically vacate all T-Mobile AWS users (which is most of them these days), overload AT&T’s spectrum with new users on AT&T 3G+ compatible equipment. That’s years of pain on both sides due to build out and contractual obligations.

      • Anonymous

        Non-data spectrum (1900 MHz) is compatible. Basically, AT&T gets the following out of the agreement:
        -A lot of 1900 MHz GSM coverage, which means getting to offload voice and SMS traffic and expanding coverage for AT&T customers.
        -More hard infrastructure that can be used. (Backhaul is backhaul.)
        -Opportunities for streamlining by reducing the employee-to-customer ratio (read: layoffs.)
        -Eliminating their most dangerous competitor. (I can expand on this point if you like, but basically AT&T is in a very vulnerable position after losing iPhone exclusivity, and T-Mobile was positioned to snag a lot of their customer base if they had played their cards right.)

        What I don’t understand is how AT&T is *already* building out their LTE network. Either they have some sort of assurance that the deal will go through and are building it out with T-Mobile’s AWS bands built in, or they are building it out without AWS built in, in which case one wonders why they would argue that T-Mobile’s spectrum is necessary for the buildout. Very srtrange.

        • Anonymous

          But what synergies come from an expanded 2G footprint from the merge? It doesn’t increase AT&T’s data bandwidth as they already have a bigger 2G footprint than T-Mobile.

          The hard-sell right now is that AT&T somehow gains a huge 3G+ advantage, but it isn’t possible due to frequency incompatibility.

        • Anonymous

          Well, most of the 1700 that’s going to be vacated has been already, so that won’t be an issue for AT&T. But I think you’re right that the hard-sell is nonsense. AT&T wants to sell the idea that they need T-Mobile’s spectrum or else they won’t be able to build out a decent 4G network, and thus provide Americans with decent mobile broadband. They’re hoping the Obama administration will back them on this because of Obama’s “broadband push.” In reality, I’m guessing AT&T wants T-Mobile’s infrastructure and to get rid of the competition.

        • Anonymous

          Well, most of the 1700 that’s going to be vacated has been already, so that won’t be an issue for AT&T. But I think you’re right that the hard-sell is nonsense. AT&T wants to sell the idea that they need T-Mobile’s spectrum or else they won’t be able to build out a decent 4G network, and thus provide Americans with decent mobile broadband. They’re hoping the Obama administration will back them on this because of Obama’s “broadband push.” In reality, I’m guessing AT&T wants T-Mobile’s infrastructure and to get rid of the competition.

        • Anonymous

          I was drawing the parallel it’s going to be as complicated and take as long for T-Mobile to vacate 1700 as it was when the gov’t had to before.

          But yup, all AT&T really wants is to remove T-Mobile’s competition.

          Spectrum’s is only really icing as recent docs prove AT&T doesn’t really need it. Since AT&T owns its own hardlines and doesn’t need to lease like T-Mobile does, no gains there. And of course AT&T doesn’t need any of the T-Mobile stores, nor T-Mobile customers.

      • Anonymous

        Non-data spectrum (1900 MHz) is compatible. Basically, AT&T gets the following out of the agreement:
        -A lot of 1900 MHz GSM coverage, which means getting to offload voice and SMS traffic and expanding coverage for AT&T customers.
        -More hard infrastructure that can be used. (Backhaul is backhaul.)
        -Opportunities for streamlining by reducing the employee-to-customer ratio (read: layoffs.)
        -Eliminating their most dangerous competitor. (I can expand on this point if you like, but basically AT&T is in a very vulnerable position after losing iPhone exclusivity, and T-Mobile was positioned to snag a lot of their customer base if they had played their cards right.)

        What I don’t understand is how AT&T is *already* building out their LTE network. Either they have some sort of assurance that the deal will go through and are building it out with T-Mobile’s AWS bands built in, or they are building it out without AWS built in, in which case one wonders why they would argue that T-Mobile’s spectrum is necessary for the buildout. Very srtrange.

    • ColdFeet

      Whoa, someone who seems to understand it the same way I did. It didn’t really seem like a big deal to me but everyone’s making it into something its not.

      But then again, what the hell do I know about business?

  • http://twitter.com/xxmonkey92 Tulio Mesa

    So all those pretty Tmobile stores will be closing down right? i dont think ATT will need to raise more ATT retail stores, meaning more job losses then job opportunities, the stock market has gone down far enough we dont need to take away jobs we need to add more! We might as well break apart Verizon and ATT so we can create more jobs!

    Tmobile Merger is one of the worst ideas ever. Even an Tmo Sprint merger is bad enough.

    I wonder what will happen to SimpleMobile if ATT wins?

  • http://twitter.com/xxmonkey92 Tulio Mesa

    So all those pretty Tmobile stores will be closing down right? i dont think ATT will need to raise more ATT retail stores, meaning more job losses then job opportunities, the stock market has gone down far enough we dont need to take away jobs we need to add more! We might as well break apart Verizon and ATT so we can create more jobs!

    Tmobile Merger is one of the worst ideas ever. Even an Tmo Sprint merger is bad enough.

    I wonder what will happen to SimpleMobile if ATT wins?

  • Anonymous

    This is bullshit. The document was posted by valid legal council. It’s withdrawl is comparable to Estoppel. Force the document back into evidence and ask for summary judgement!

  • Anonymous

    This is bullshit. The document was posted by valid legal council. It’s withdrawl is comparable to Estoppel. Force the document back into evidence and ask for summary judgement!

  • TMoFan

    I think this just proves that at&t is willing to do anything to keep T-Mobile out of Sprint’s, or another competitor’s, hands. A combined Sprint/T-Mobile would have had the same amount of subscribers as at&t and Verizon and would have offered a robust market for consumers. Why would at&t want that? That’s the real reason they offered almost double for T-Mobile. Theses arguments that at&t keeps trumpeting are full of holes. I hope this blows up in their face!

  • TMoFan

    I think this just proves that at&t is willing to do anything to keep T-Mobile out of Sprint’s, or another competitor’s, hands. A combined Sprint/T-Mobile would have had the same amount of subscribers as at&t and Verizon and would have offered a robust market for consumers. Why would at&t want that? That’s the real reason they offered almost double for T-Mobile. Theses arguments that at&t keeps trumpeting are full of holes. I hope this blows up in their face!

  • Ilyas_k15

    I say, that as always, AT&T is full of crap. I hope FCC makes the right decision and votes against the merger. AT&T can’t even provide any solid reasons for this purchase.

  • Anonymous

    It’s pretty hard imo to get a group of people whose primary interest is $$ to admit that they are interested in anything other than $$.  

    If it was ever discovered that being honest was the best business practice, we’d have to find something new to complain / comment about

  • BigMixxx

    wow….

    ATT screwed the pooch on this one.  Really Screwed the pooch on this one.  It’s not the fact that it was leaked.  That’s OK, IMHO.

    It’s the fact that it was taken down, which makes it credible, valid information.  This is not good for AT&T, Sprint has exactly ONE change to step in and finance a deal with T mobile.  

    I’ve said it before.  It’s not about spectrum, it’s about data, it’s the new oil.  Make it faster and people will pay for it.  Make it more readily available, and PEOPLE WILL PAY FOR IT.

    If I were Hesse right now, I’m going to the piggy bank to get 20 billion.  Keep jobs, people and staff active.  Give in to a couple of things for a very profitable 3 to 5 year plan…

    • None

      100 percent dead-on correct.  “Data is the new oil” is a phenominal comparison.

  • BigMixxx

    wow….

    ATT screwed the pooch on this one.  Really Screwed the pooch on this one.  It’s not the fact that it was leaked.  That’s OK, IMHO.

    It’s the fact that it was taken down, which makes it credible, valid information.  This is not good for AT&T, Sprint has exactly ONE change to step in and finance a deal with T mobile.  

    I’ve said it before.  It’s not about spectrum, it’s about data, it’s the new oil.  Make it faster and people will pay for it.  Make it more readily available, and PEOPLE WILL PAY FOR IT.

    If I were Hesse right now, I’m going to the piggy bank to get 20 billion.  Keep jobs, people and staff active.  Give in to a couple of things for a very profitable 3 to 5 year plan…

  • http://www.facebook.com/profile.php?id=1056496631 Gabriel Sanchez

    Tmo is gonna take the 6billion promised….get some roaming agreements…and take some more billions from sprint to merge…. SprinT-Mobile haha

    • DetroitTechnoFan

      Well, you know… they do have the Photon 4G which is a GSM/CDMA phone. How hard would it be to set Sprint up as a CDMA/GSM/AWS type system? If WiMAX goes away, HSPA+ would be a GREAT substitute as far as speed goes.

      Also, if Sprint and T-Mobile were to merge, the three remaining networks would be more or less similar sized, unlike if AT&T buys T-Mobile.