AT&T And T-Mobile Pull FCC Application For Deal, AT&T Records $4 Billion Pretax Loss

Late Wednesday night AT&T announced that it will take a $4 billion charge as opposition to its T-Mobile USA purchase grows. The charge will reflect $3 billion in cash and over $1 billion in spectrum AT&T will provide T-Mobile parent Deutsche Telekom if the deal fails to meet regulatory approval.

This move comes on top of both companies announcing the withdrawal of their pending applications from the Federal Communication Commission, although both parties said they will continue to fight for the deal.

“AT&T Inc. and Deutsche Telekom AG are continuing to pursue the sale of Deutsche Telekom’s U.S. wireless assets to AT&T and are taking this step to facilitate the consideration of all options at the FCC and to focus their continuing efforts on obtaining antitrust clearance for the transaction from the Department of Justice,” the companies said in a statement. “As soon as practical, AT&T Inc. and Deutsche Telekom AG intend to seek the necessary FCC approval.”

This move does not mean both AT&T and Deutsche Telekom are waiving the white flag as they specifically stated they are “continuing to pursue the sale.” However, the news that AT&T is allowing for a $4 billion pretax charge on its fourth quarter of 2011 balance sheet is recognition this deal is at risk of not going through. In other words, AT&T’s accounting team is recognizing the deal is now more likely to fail than succeed.

Happy Thanksgiving!

Business Wire, Reuters

 

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  • Euched

    Great news for Thanksgiving morning…now I have 1 more thing to be thankful for!

    • Armand

      Yes one more reason to be thankful.  

    • Newmex0

      Talk about timing;-)   Happy Thanksgiving to all TMO customers

  • Anonymous

    Wow! Seriously…just wow.

    Now, Apple will you make a T-Mobile iPhone?!

    • http://twitter.com/csweeney05 Chris Sweeney

      As soon as T-Mobile is willing to pay for it they will

      • Anonymous

        Well, it looks like TMo will have $3bn in cash to helpwith that.

        • Vim

          $3bn is pocket change compared to what Sprint had to fork out to land the iphone. T-Mobile would need to restructure its business and jack up its rates to be able to afford the subsidies that Apple demands. 

    • MIKEEEEE

      what for? plenty of other carriers have them.

      every other country’s t-mobile has them.

      go here……….

      t-mobile.de

      the iphone is made for people with the mental age of 7.

      ANDROID is made for people with the mental age of 9.

    • Mark Hennessey

      Heh… Start the rumor mills now: “iPhone 5 to launch on T-Mobile!1!11!! zOMG”

      I’d settle for a subsidized Galaxy Nexus or a killer Ice Cream Sandwich device from HTC.

      • Anonymous

        Tomorrow marks one year with my MyTouch4g and Android.

        In that time, I have learned that Android simply sucks. The battery life is simply appalling. The lack of a place to put in a url proxy address in the network settings means the handset is pretty much a brick at work (a school where the T-Mobile signal is pathetic at best).

        In June, my T-Mobile ETF drops to $100. If there is no T-Mobile iPhone, I’ll pay the ETF (recovered by selling my current handset) and after 15 years with Omnipoint/VoiceStream/T-Mobile I’ll switch to ATT and get an iPhone.

        Yes, my monthly bill will probably go up a bit. But at least I know my phone will work. I know the battery won’t go from 99% to 10% in 30 minutes as it does on occasion. I’m not a huge Apple fanboy, (although my iPad 2, which I’m typing this on right now, has convinced me of the superiority of iOS. I want the iPhone not because it is so cool or other garbage like that, I want it because it works.

        • Anonymous

          Lol, learn how to use your phone and you won’t have an issue. Who runs out of batteries in 30 minutes? Christ my phone has a 4.3″ display and ive still managed to get 2 days out of it before. (I also haven’t rooted it yet, this is only through optimizing settings already on the phone).

          You know what though, you’re right, go get an iPhone, its good for people that need things to run on Auto Pilot. And on the “pathetic at best” signal, enjoy ATT, iPhone stil can’t hold a phone call on their network. And the “go up a bit” in price thing, yea try $840 + /year more.

        • Anonymous

          Actually, I’ve already priced an ATT plan- it works about to about $150 more a year for the family plan I would need…which includes two iPhones.

          As far as the signal, I have used other people’s ATT phones- iPhones and others- and in the signal is just fine…even inside a school building that was built like a bomb shelter.

        • Lee

          Using other ppls phones and having your own experience is two different circumstances. Come back and tell us about your situation. I hope you have a good report. Happy Thanksgiving.

  • stoneyjonez

    I love how it ends with Happy Thanksgiving. I mean I know it’s thanksgiving, but it seems like you’re saying we should be thankful for this. I am!

  • Tomas Arroyo

    LOL I love the happy thanksgiving part at the end!

    Just the way I wanted to start off my day.

  • Dkb218

    Is it possible the American consumer has won?

    • Littlesis1774

      If T-mobile gets the iphone now then yes

  • Anonymous

    Now ATT Inc and DT are gonna make a deal with thrid party to sell t-mobile. By relaxing/agreeing DT to purse third party, ATT is gonna ask for a deal ( like only $2B instead of $6B)…

    FOr Example, if Google is ready to pay $20B for T-mobile, that is $20 plus $6B( fine from att)=$26B for DT. Now ATT gonna say, I will only give you $2B for allowing you to pursue thridparty when ATT and DT are under a contract…

    But either way, BEST news for along time. 

    • MIKEEEEE

      no2, regardless of what happens, 

      anything is better than ATT.

      look at all the politicians they bought.

      look at the scumbag union leaders that shilled for them too (as a retired 30+ year teamster i can say that).

      my take is this,

      an uncertain future is better than a mediocre one any day.

    • Littlesis1774

      Shut up about Google!!!!!!!!!!!!!!!! Google will never buy T-mobile

      • Lee

        Never say never. Remember Google also stated that it would never build another Nexus phone after the Nexus One.

      • Anonymous

        LOL Seriously though

  • Rebelbanker

    Ahh… Job security!

    • Anonymous

      Good4u….

    • Anonymous

      yes! and to everyone saying what will tmo do?  Im sure DT will get someone to buy tmo.  They are plenty of people who would want us.  Maybe we can get a good CEO and start managing the company like it should be.

      • http://www.facebook.com/titadab05 Ali Othman

        G-MOBILE FTW!

  • http://pulse.yahoo.com/_V3A4YNL7QCQJW2TXWTGEDD7JFA alphonso

    This just means there putting the money on the side If (really when) they lose.
    The fact that they are doing this now should make most Tmobile customers have a better holiday!!
    Thanks to TOMNEWS and have a great thanksgiving!!!

  • Anonymous

    Only question now is, are they gonna write a check or do wire transfer for that $4B…….

    Thats the only open question….

    • Anonymous

      Cash. You saw that picture David posted the other day :-)

    • None

      We peobably have to wait for NFC

  • MIKEEEEE

    notice the timing? 

    releasing the news late at night into a 4 day holiday weekend?

    this is corporate face saving to the max.i wonder how the attfanboy/trolls are going to take it? SIGH.happy thanksgiving to all.

    PS; wonder if this will allow us to start roaming on some of att’s GSM1900 stuff?

    • None

      there are not too many att trolls dude. 

      • Anonymous

        Yea, not on this blog, lol

        • Lee

          The reason why is because the battery ran out of their precious LIEPhone BS.

  • http://twitter.com/SParKlngCyaNide SparklingCyanide

    Wow, I love this.  Att is finally recognizing they may not win. 

    • None

      I never thought I would see that day.

  • Anonymous

    The $4B is less than $6B that was expected.  It seems $4B excludes the cost of roaming agreement that t-mobile is supposed to get but looks lot less than $2B but may be around 500M. So I would think tmobile is getting $4B holiday gift( Minus 500M for losing customers, attorney fees , lost opportunity etc)…..

    Nice. And just what we need for google to buy this and by next thanksgiving.

    • Jeffrey

      Ahhhhh! Stop it! Google does NOT want to buy T-Mobile!

      • None

        I know.  It hurts my brain every time someone says that. 

      • Guest

        I know, Plus there is no measure to the level of control Google would have if the control software, hardware, and spectrum. They would be under extreme scrutiny from anti trust agencies.  If they hadn’t just bought MOTO mobile … maybe.  But now I dont think its worth the trouble for them

        • Enoel69

          They can buy it and run it as a separate company just like they will w/ Motorola mobile. I am rooting for Google…they will make the perfect buyer or partner. Maybe partner first and buy later in a few years.

        • Littlesis1774

          Quit dreaming because it is never going to happen. If someone was to buy T-Mobile USA it will be a foreign company like China Mobile or Vodafone. Google will never buy T-Mobile USA

        • None

          Orange, please!

        • None

          Orange, please!

      • Anonymous

        Seriously, I don’t understand how this continues to get spread. Google never announced plans. Quit dreaming!

  • Gina

    Wonderful. Just reinforces my decision to switch back to to T-Mobile this month :)

  • Timbois44

    I left T-Mobile for this. They sold us out, If the deal goes through or not! I still am not going back 

    • Anonymous

      You own fault for jumping the gun… Not all people are smart..

    • Jack

      You’re the idiot for leaving. Did you see anywhere where tmobile was saying “buy me!”. Tmobile was basically bent over and told to take. Tmobile had no choice in the matter you over compensating dbag. And even if it did happen, you would have had service for another year. You just are here to add your whining comment probably read from your slow ass iphone. Know your shit and be a smart consumer instead of blaming all others. My job is on the line and you whine about jumping the gun and not being loyal. My dogs ball sack are worth more than your business.

      • Anonymous

        well said

      • ColdFeet

        I do agree that timbois44 jumped the gun but I don’t think that you would have had a hard time finding a better paying “job” than what you have now with T-Mobile. I mean, using big words and phrases like “idiot”, “dbag”, and “my dogs ball sack” are guaranteed to help you land a much higher paying customer service position at another company…

    • Tbyrne

      Or coming in here to post. Right?

  • zazou1

    Great news!!!!   Happy Thanksgiving to you too David!!

  • Mark Schmaling

    Best thanksgiving news ever!  AT&T is not ma bell, its big brother bell.

  • Anonymous

    What do I enjoy more… dry @$$ turkey or ATT-Mobile all but admitting defeat?

    Happy Thanksgiving.

    • Tbyrne

      I’d guess the latter. I’m smiling ear to ear right now. :)

  • Hark

    Remember how many people here said it was a “done deal” and we were living in a dream world for thinking it wouldn’t happen? Yesterday an analyst in Bloomberg said the deal has very little chance of passing.

    • None

      We read tmonews… we already knew that.   :)  ;)

    • Justhanging

      Exactly… !  There was a point that AT&T getting T-Mob had reasonable odds. More early on. Now the writting is clear. It’s not gonna happen.

      As far as the “cash going back to DT”….you guys gotta realize that DT is still in the biz of making money and they want T-Mob to be an attractive asset.  It would be utterly stupid to let T-Mob flounder without an infusion of capital after the FCC just got done saying “we want to encourage you to not be apart of one of the large players”. 

       Even if DT wants to sell this asset, letting it turn into “garage sale” material isn’t smart. They now have the funding to build it up a bit and merge/buyout with smaller players with the “we want competition” blessing of the FCC.

  • trife

    Everyone who is so glad that it looks like the merger isn’t going through, what will you do when (not if) TMO folds?

    As much as I love TMO, I think we’re just delaying the inevitable. Time will tell, I guess.

    • Anonymous

      I call it living in fools paradise..

    • Anonymous

      Are you serious ? Why would they fold a profitable business that is worth at least 39 b ? Your not making any sense. They will put lipstick on the pig and sell to someone else that is not another carrier. The T-Mobile USA story will have a happy ending.

      • trife

        I guess my point is that I don’t think that Tmobile will continue to be the Tmobile that we’ve all grown to love.

        DT is done from what we’ve seen. So who picks us up next? I feel like when a brand changes hands to new ownership, things inevitably change. And often for the worse.

        I hope I’m wrong though.

        • Anonymous

          If they merge with ATT, THAT would be for the worst. I’d have to pony up cash and go to Verizon then… that would be a nightmare in of itself. Going to ATT isn’t even an option. Sure i’d like a pathetic phone signal that drops calls every 20 seconds, and “4g” data that runs slower than my N1′s 2g.. that sounds wonderful.

    • Hark

      They still post profts and have a plan going forward, so what are you talking about?

    • anon

      Well I’m sure the $4 billion they’ll receive if the deal falls through will help T-mobile stave off bankruptcy.

      • Jeffrey

        Remember that cash goes to DT, not T-Mobile USA.  DT has already written off T-Mo as “done”, so they’re unlikely to put any of that $4b back into it.

        • trife

          My point exactly.

        • Anonymous

          Do you sit in the DT board room? What proof do you have they’ve written it off as done. Last time I checked they still pulled in 332 million in profits in the 3rd quarter of this year minus the 60 or so mil they had to put into this suit. That’s still a profit, why dump something that’s profitable? DT wanted to get T-Mobile off its hands sure, but there was a reason. That reason was so they would have one of the largest shares of ATT, which in the end would have been more profitable for them. In lieue of that, do you think they would still just go ahead and dump something that makes them over a bil a year? That’s foolishness. 

        • Littlesis1774

          They already stated that their wish is to discontinue investing in American Market and only focus European market. T-Mobile USA will no longer be part of DT

        • Anonymous

          Part of that $4 billion is ASSETS.  Why would roaming agreements and
          spectrum go to Deutsche Telekom?  DT arranged the break up fee to keep
          T-Mobile USA competitive in the event the merger fails.  That’s what
          it’s there for.

      • Anonymous

        Why do you make uninformed statements and act like you know what you’re talking about?   T-Mobile USA has NEVER been close to bankruptcy.  They make hundreds of millions of dollars a year.  Even DT’s CFO went on record saying that Tmo USA is profitable. Sprint comparatively reports a LOSS of almost a billion dollars a year. Part of that $4 billion is ASSETS.  Why would roaming agreements and
        spectrum go to Deutsche Telekom?  DT arranged the break up fee to keep
        T-Mobile USA competitive in the event the merger fails.  That’s what
        it’s there for.

    • Enoel69

      No need to fret…there will be plenty of Companies not named Att, Sprint or Verizon waiting in line to partner or buy Tmo if DT really want out. My most fav is Google

  • None

    Certainly great news but I would not celebrate TOO much…as the money goes to Deutsche Telekom — not TmoUSA. 

    • Anonymous

      I don’t think so.  Part of that $4 billion is ASSETS.  Why would roaming agreements and spectrum go to Deutsche Telekom?  DT arranged the break up fee to keep T-Mobile USA competitive in the event the merger fails.  That’s what it’s there for.

      • None

        I said money, not assets.

  • Anonymous

    This is perfect, last night the Family Guy episode with Star Wars theme aired and it showed at the very end the death star exploding!

  • Anonymous

    This deal is about 95% done!  The only reason why AT&T is not completely tossing in the white flag is for the fact that they do not want their stock to tumble the same quarter they report a $4 billion dollar loss.  I am willing to bet they will fold before this case even goes to court for the DOJ hearing.  Without the FCC approval and the spectrum licenses the deal is worthless to AT&T.

  • Anonymous

    This is pretty good news to hear, but TMO isn’t equipped to compete with many of the other carriers looking into the future. A sale/merger with Sprint is most likely the next probable step to take if the current merger fails. Is it me or does it seem like TMO has taken a less notable role in the phones it offers? The most exciting product have been the Amaze, S II, and Radar. TMO has only offered 1 other windows phone and recent news hints at the arrival of the low end (ugly) lumia 710. TMO definitely needs a spark with better phone offerings. I hope to hear news of an official TMO galaxy nexus in early 2012

    • Anonymous

      No national us carrier has a chance at buying tmo. The doj wants 4 major competitors in the market….the buyer would have to either come from outside the us or from outside the wireless industry

      • Anonymous

        The DOJ can’t control the trend of the market though. 4 major networks sounds wonderful in theory, but low prices can only compete for so long before we demand something else whether that is LTE or different phones. If TMO has no long term plan for LTE how can it compete? Even if a buyer from outside the country or industry purchases TMO, who’s to say there strategy will resemble anything like to TMO of present 

        • Anonymous

          Trust me…i hear u. The doj is crying wolf about lack of competition yet tmo has been losing subscribers…..they want tmo as an option for consumers but in general consumers arent choosing tmo now….i go back to my argument that if tmo were adding lots of subs every quarter, the doj would have a stronger case in that regard…..as for lte, i dont think its necessary yet….tmos 42mbps hspa network delivers comparable speeds to lte…..tmos downfall is their lack of marketing….they let the big three get all the lime light

        • Hark

          They added tons of prepaid customers, so nice try but incorrect

    • Anonymous

      Who else has a bunch of high end Windows phones? Pretty sure all of them are the same 1ghz year old technology all the other companies are dropping. I agree with you only in the sense that they didn’t get the iPhone. But i personally wouldn’t have bought the iphone even it came to T-mobile anyways, so it doesn’t affect me.

      Minus the iPhone, what phones do other carriers have right now that is just BLOWING T-mobile away? The only one that comes to mind is the new Nexus, but you can already buy that for T-Mobile and use HSPA+, so I don’t even consider that a 1 up.

      • Anonymous

        I understand the point your trying to make, but as a consumer I want selection. I don’t want to buy an android (unless a nexus) and wait 3, 6, or even 12mo for the latest OS. But look at the selection of WP on ATT. There are 5 and a likely 6th early 2012. Not saying that carriers have ONE phone that’s killing TMO, but there is more to choose from on other carriers. And why would I pay $800 for a phone that will be considerably less when I upgrade?! C’mon.

        • Littlesis1774

          T-mobile problem is that they don’t offer enough of an selection of different phones. There are a lot of people who love to on T-Mobile with iphone but can’t get it. T-mobile different phones and that might happen since the AT&T deal is done

        • Anonymous

          Are you kidding me?  You have the best selections of devices on T-Mobile PERIOD, except for the iPhone.   The Sensation, Amaze, GSII, myTouch 4G slide, G2X for the High End;  Sidekick 4G, Galaxy S4G, Exhibit II, for the mid range.  and the new LG myTouch’s for the entry level.  Who else has that kind of selection when it comes to Android phones?  Then you have the new 4G touch screen blackberries: the new Bold and Torch.  You have the Radar which is as high end as Windows phones get.  What exactly is available on other carriers that you’re whining about?

        • Tbyrne

          You’re absolutely correct! T-Mobiles got the phones and now that we’re almost rid of Randall, things might actually start looking up. For everyone who stayed the course, I commend you. For those who left T-Mobile well,
          we’ll welcome you back with open arms. T-Mobile will live on!

        • None

          Radar is high-end?

  • http://twitter.com/ITMedCEO Derrick Ford

    Wow!  Has anyone thoght of what Apple might do now that this deal is dead?  I see them making a tmo compatible iphone as wee speak,  Plus, for the existing AT&T customers whos contracts are up…they now may consider the more economy friendly carrier,

    • http://tmonews.com David

      If you think Apple is going to make an iPhone now that this story has come out, I’ve got a bridge in San Francisco to sell you. It’s going to take a lot more than this to make that deal happen.

      • sino8r

        I don’t know, David… It did have a big part in why we DIDN’T get it, imho.
        And I’m a huge Android fan… Happy Thanksgiving! This is good news! Rather have someone else buy us out than deathstar ;)

      • Littlesis1774

        I agree with sino8r. It would explain a lot like why T-mobile did not get but small company like C-spire got it. I heard that would it be possible for Apple to make iphone for them

      • BigMixxx

        I don’t know david….

        T mobile US will probably use some of that secret reserve to pay apple. 
        It’s not like they DON’T want an iPhone.  Frequencies aside…it’s a matter of Paying Apple to Get you paid.

        Imagine a T mobile iPhone being just as stable as an ATT iPhone.  It becomes a real problem for AT&T.  Those customers contracts ending next year on Verizon and later on down the line for ATT..there is a true market for iPhone 4 and 4s on T mobile…

        • Anonymous

          TMO US won’t receive a dime, DT pockets the money

        • Littlesis1774

          T-mobile still gets AT&T spectrum we can still get the iphone

        • Anonymous

          While that maybe true $4 billion for a broken deal is bad. DT can put that to good use and hopefully let t-mobile be or try becoming number 1 by expanding across every state and city.

      • Silk7412

        Here one for you. Say goggle buys Tmobile and pays for the iphone5. I don’t think Steve( may he rest in peace) would feel about it.

    • Giraffe

      Because the thing a struggling company needs is to show more losses because they purchased an agreement with a phone that actually isn’t all that magical.

    • Anonymous

      T-mobile is still the odd man out when it comes to frequencies, I don’t see Apple ever making a T-Mobile compatible iPhone. Maybe when the iPhone 5 comes around, but only if T-Mobile picks up a bigger customer base and throws a bunch of money at apple.

    • Enoel69

      Yup true true…i believe they might have had something to do with Tmo not having the iPhone. A GSM carrier with low rates and speedier HSPA+ network….i see Tmo numbers growing from 33 million plus to 35 million plus >. Now make the G-Nex available on Tmo…we will be back in biz.

    • Anonymous

      Very optimistic to think that who knows you could be right.

  • http://twitter.com/ITMedCEO Derrick Ford

    what???  compared to the other carriers tmo has a better android line up

  • Anonymous

    I think this is a sign the deal is over.  Of course AT&T will keep fighting since they have $4 billion on the line, but I think it’s a formality at this point.

    So Deutsche Telekom walks away with $4 billion and who knows what happens to T-mobile USA.  Back to square one with a whole year and a half wasted for T-mobile USA.

    • Anonymous

      Why wasted? They still continued expanding network, they still continued releasing phones that are on par with the other carriers (Sans iPhone if you’re into that sort of thing).

      I’m just thankful i’m not going to be dumped on to ATT’s pathetic service and high prices. It’s one thing for Verizon to charge high prices, they have the most coverage and the fastest data, but for ATT to be so expensive is a joke. Their service is more on par with Sprint, or maybe even Cricket. Every single iPhone fan I’m friends with dropped ATT, in some cases paying termination fees, just to get on Verizon when it was available, b/c ATT’s service is atrocious. 

      Hopefully ATT will go ahead and spend that 30 billion on actualy doing something about their shoddy infrastructure, so that at least the poor customers that are stuck on ATT can make a phone call some time in this century. Something tells me they’ll just continue dropping it into gobbling up other networks and bandaiding them together.

      • Littlesis1774

        I think that now since the deal is as good as dead Apple will make iphone for us. I think AT&T was the one who stop it

        • Fulatoage

          I feel like if t-mobile was to get the iphone. They will become number 2. Alot of people with iPhone. Prefer tmobile network.

        • http://tmonews.com David

          In order for that to happen, 60 million people would have to run out and buy T-Mobile iPhones. What are the odds that happens?

  • guest

    Just one idea:  The Article also said. DT needed the money to complete fiber optic’s in Germany.

    As for T-Mobile, Moody’s believes Deutsche Telekom may try to sell and
    leaseback its towers to save money, or reach a network-sharing deal with
    AT&T or even exit the US completely to focus on Europe.

    • Enoel69

      If DT wants out…so be it. The Perfect company to buy Tmobile and keep it intact and implement major improvements and quickly it will be Google. Will love to see them either buy Tmo outright or partner with them. Folks if you wonna see a network with a super fast advanced LTE…let Google have their hands on Magenta.

      • Daghost

        Really? Google cant even properly launch a phone.

        • http://twitter.com/RudyFlyer4 CJ

          Google Probally does not care to get into the Telecommunications Infrastructure business. They are buying Motorola to build phones. The best possible buyer is US Cellular

        • Lee

          Au contraire mon frere. Google is reportedly looking into cable. I will find the link shortly. The possibilities are endless and could potentially blow up the telecommunication industry if this happens. Bye bye anus pecking lobbyists and bye bye to Ma freaking Bell.

      • Littlesis1774

        Google does not want to buy T-Mobile USA so that ship as sail

      • BigMixxx

        Google does not know how to run a wireless company.  It’s against the position they hold in the market. 

        IT is best for T mobile to survive on it’s own and look for investors.  Blackstone pouring in to own 20 to 30 percent of a newly formed entity in the US is a good thing.    If T mobile announces a 2013 strategy that included LTE-A and roaming agreements with Several other companies as well as a technology sharing (wifi calling is a prime example), Companies would invest. 
         
        hell, I got my 1k ready…

        • guest

          If TMobile offers an IPO 1k is cool, just don’t put your retirement into it. I really hope she stays afloat, but I do not think the market can support 4 wireless providers. 

        • Anonymous

          Its has been for the past few years why not now?

        • BigMixxx

          Market has a bunch in it now, just the 4th largest does not have a true valuation right now.

        • Anonymous

          Google didn’t know how to do a lot of think as a matter of fact google was merely just a popular search engine years ago, still is the most popular search engine with bing competing for that title. My point is since google expanded they have the necessary funds to hire the necessary people to get stuff done. to say google can’t do something is absurd.

        • BigMixxx

          Google does not know how to run a mobile phone company, and keep it profitable.  It would not be the right move for Google.  Data is the company’s focus…it just so happens to know provide best in practice search engines.

      • PatheticLoser

        Google will not be the savior of T-Mobile.

      • TMO Loyal

        I thought that Google could not buy T-Mobile due to some rule that says handset manufactures cannot own the wireless network as well. Now that Google owns Motorola does that not put them out of the running to own T-Mobile?

  • BigMixxx

    You gone learn today, people…( — Kevin Hart)

    AT&T strategically announced this today, markets will REALLY reopen on Monday.  Let’s see what happens then.

    The REAL thing here is they will be able to write down that loss in a couple of quarters. 

    Right now, the deal is over…

    Next steps are on DT and let T mobile develop a strategy for secession from the parent company.  DT will also need to redevelop plans with share networks with DT.

  • http://pulse.yahoo.com/_AWWIKW6MNPUHOC4OVSHWUDWAHM Fabio

    I’m confused… if they have withdrawn their FCC application, then why are they still going to court with the DOJ? Why pursue this deal when they need BOTH DOJ and FCC approval? Can anyone elaborate on this? Is this their way of saying the deal is dead??

    Happy thanksgiving!

    • MS824

      I think that the judges word is final so if the judge declares that the deal doesn’t break any antitrust laws than the FCC can’t deny the deal. obviously the DOJ can appeal or make a deal with at&t but if a judge makes a decision everyone must abide by it including the FCC

    • Anonymous

      By pulling the FCC application (which was being contested by FCC) they don’t have to make documentation public in FCC arguments that the Justice Dept. could use in their lawsuit.

  • Gwapo

    Happy Thanksgiving to all!!! GOD BLESS!!!

  • Really

    What drives me to drink here is that AT&T is basically saying they really don’t need the spectrum, and isn’t that the crux of their argument!?!? Am I seriously missing something!?

    • marc

      everyone that were paying attention already knew that, just like everyone knew it would not create any jobs!

  • Tbyrne

    Ding Dong the deal is dead, he he he, ha ha ha, the wicked wicked wicked deal is dead! Hip Hip Hooray!! What a glorious day!

    • Littlesis1774

      DT is just going to sell it a foreign company. I heard vodafone was looking to invest in american market 

      • NO 2 ATT

        They already have, with their stake in VZW, but they’d have to divest their stake in VZW first.

        • None

          Orange please

      • Anonymous

        Thats good.

  • J. Williams

    Boom!!!!!!!!!!!!!!!!!!

  • Anonymous

    As a lifelong and native resident of New York City, redneck is about as wrong a description as you can get of me, or any of my 8.2 million neighbors.

    Android is a operating system that works, but is so crippled by that one flaw- making it all but useless in most corporate and educational settings that- that whatever good it might have is completely undone.

    Finally, the tone of your comment, name calling and a homophobic remark, probably masking your own secret desires, does give you some authority to decide what is for dummies and what is not, as you obviously have the mental capacity of a three year old.

    • Anonymous

      Dont confuse shitty hardware with shitty OS. MT4g is some pretty shitty hardware, but android owns. Galaxy S2 or any nexus device proves this point

      • http://twitter.com/WillieFDiazSF William Diaz ?

        Do you have a MyTouch 4G. The hardware is great. Its fast, its solid, the screen is a SuperLCD and bright. I dont know about you guys buy my battery life ROCKS, I do only use it in HSPA ONLY mode though. I have never regretted buying that phone. I HAVE regretted buying the EVO. But you are right about the Galaxy S and Nexus devices, I have a Nexus S 4G and its great.

        • Anonymous

          I do have a myTouch 4G. My nexus s with tmo is WAAAAY better. I really dislike htc’s build quality. I have so much dirt under the screen (which I’m sure is NOT super lcd). It’ll admit it is fast and it is solid (ive droped it a lot)

  • TMoFan

    A classic news dump on Thanksgiving no less. This is a veiled admission of defeat and I think we can start feeling better about this thing not moving forward. Maybe there won’t even be a February hearing after all.

    Now that this is (almost) dead it would behoove DT to take care of the breakup package with at&t immediately and start talks with the other companies they were in talks with before (of whom 3 remain a complete mystery). The sooner they do that the sooner they can cut and run from the US and put T-Mobile into the hands of a company that cares.

  • Phonegeek

    They’re like the guy in the fight who can’t fight anymore that’s still waving their arms around with no strength in them. Come on at&t throw in that towel this its the last round.

    • Tbyrne

      Ding Ding. Fights over! Customers win!!

      • http://twitter.com/RudyFlyer4 CJ

        How do Customers Win? T-Mobile will be sold to a worse off carrier now. Honestly, AT&T is not the greatest company but it is better than US Cellular or Einstein. I have a feeling T-Mobile is going out of business if this does not go through then were are you going to go?

        • http://www.unscripted360.com Deacon

          exactly CJ .. the people who were hoping for this deal to fail are stupid and clueless .. now i’d love to hear what they say when TMO USA gets purchased by a worse company or when they eventually fold.

        • PatheticLoser

          Remember Alltel? Private Investment firms took it from Publicly traded to private, then Verizon got their mitts on it. I could see this happening with Tmo, they buy it, and break it up into pieces with ATT getting a chunk but not the whole thing.

        • Hark

          There are no worse companies. You are the pathetic one.

        • Anonymous

          There is not a company worse than either att or VZW. And tmousa won’t just disappear leaving the customers with no dial tone. If we at talking worst case scenario, we would be looking at regionals buying up the pieces.

        • 123

          I’d much rather have us cellular or einstein take a swing at being a national carrier than killing off the competition with the att buyout. Less competition is not a good thing. 

        • Justhanging

          Why is it no one believes DT could spin off T-Mobile if they really don’t see the game any differently now?  It could be done…and a merger could be worked into the deal. With a GOOD chance of a more favorable outcome for T-Moblie’s “ability to have a say so” (and keep the Cust Support we all loved).

  • http://twitter.com/thinktank79 Matt Munson

    The issue for DT is we need a 4th company, if the 4th company is going to be taken away its a no-go. So why not have Telefonica or Rogers buy T-Mobile, so they can be a 4th company in America.

    • Jarrod

      Not rogers, but I will take hutchinson Three. From things I have seen around the internet they have good prices and good service. Or wind from Canada since they both use same frequencies.

    • Floridaphil941

      If I was Amazon, I might be looking very seriously at TMO if I was truly thinking of becoming a carrier…..

  • Anonymous

    they just dont want to fight 2 bttles at once. going after DOJ, if they win then they will tackle FCC

  • http://www.unscripted360.com Deacon

    be careful what you wish for .. if this deal falls through i’ll be very interested in how all of you who were so hoping it would fail react when the company simply goes out of business .. people have no clue .. this deal needed to be done regardless of how you feel about ATT .. oh well ..  a few more months of TMO before it folds or is bought by an even worse company that will be even worse on transferring customers.

    • 123

      I would much rather have tmo go out of business than have att buy out tmo. I’d much rather see tmo sell of its assets or sell to another bidder, which is the lesser of the “two” evils.

      • PatheticLoser

        I’m sure the employees of T-Mobile really appreciate that. Let’s make them all jobless. Great idea. How evil is that?

        • 123

          They are going to lose their job anyways if ATT buys tmo out. employees are going to lose no matter what. 

    • Justhanging

      Nah, the FCC just installed new bumper guards on T-Mobile’s buggy. 

      If DT doesn’t see the US market differently now…some other companies will, and a deal more favorable to T-Mobile’s look & feel will prevail.  The wind just got blown into the sails for a different consolidation than one which makes AT&T even more of a market bully.    

    • BigMixxx

      People keep saying this, but the financials don’t show it.  They are not burning cash.  They are efficiently using cash, and they continue to be profitable.  there is no proof….

    • 123

      A very real possibility is that someone else will buy up tmo and raise the prices on everything. That is something I can see happening. 

    • Hark

      Companies that purest profits do not fold

    • Anonymous

      You’re an idiot.  T-Mobile USA makes hundreds of million dollars a year NET.  It’s the parent company who’s in debt and selling off their US assets which is not their focus is the best way to attempt to pay it off.  T-Mobile could function the way it is now for years.

      • Anonymous

        Revenue does not equate to profit. While I don’t think tmousa would just fade away, I also would like to see numbers showing that tmousa is consistently profitable.

        • Anonymous

          That’s why I mentioned NET.  They don’t end fiscal years at a LOSS.  Compare that to Sprint who records almost a billion LOSS a year for some time now.  If Sprint can just go on like that for years then so can T-Mobile with their 300 million net gain.

        • Anonymous

          So you are saying that tmousa makes a substantial yearly profit?

        • FormerTMOEmp

          T-Mobile USA issued its third quarter financials, and things are looking up over last quarter — if only just slightly. The carrier posted service revenues of $4.67 billion — that’s a modest 0.1 percent increase over the second quarter, but down 0.9 percent over this time last year. Net income, meanwhile is at $332 million — up 57-percent from Q2 2011 and four-percent from Q3 2010. The quarter also saw the addition of 126,000 customers (includes postpaid and prepaid users)– a marked improvement from the loss of 50,000 last quarter. The only major US carrier without an iPhone is currently host to 33.7 million customers — 10.1 million of whom own a 3G/4G smartphone, the latter of which is a 40 percent jump over this time last year.

        • Anonymous

          Thank you. If that is accurate, and it continues, there is no reason to think that another buyer would not line up.

        • Gregp74

          Food for thought: T-Mobile has managed to prop up its profits by cutting way back on what they’re reinvesting into their network.

          Where all of the others are building out (true) 4g LTE systems, T-Mobile is standing pat with it’s current HSPA network. That’ll be fine for a while, but eventually they’re going to have to upgrade to newer technology, and they’re going to be years behind the competition.

        • FormerTMOEmp

          “Net Income $332M”  for the quarter.

      • http://www.unscripted360.com Deacon

        says the idiot who doesn’t know TMO has been on a downward turn for years .. why i even bothered responding to someone with an obvious lack of intelligence is beyond me .. go back and grow some more corn.

        • None

          Downward turn because DT has been tightening the reigns and only investing the minimum they have to….Business has actually leveled off and started to come back up due to the explosion in the new prepaid plans and the new Value Plans.

        • http://www.unscripted360.com Deacon

          true but a downward turn nonetheless and even with the money this broken deal will get, DT will simply use it in its home territory and do what they’ve intended to do all along and get the hell out of the US with TMO. lose, lose for US customers i’d say.

  • josue cifuentes

    so google can step up and by tmobile…i wished that was the case lol

  • Littlesis1774

    Can we please have the iphone now

    • None

      Yes, it is for sale on apple’s website.  You will just be in EDGE but if you are on WIFI all the time, that does not matter much.

  • Dipset

    Tmobile gotta do the right thng and make it happen now get the,fucken iphone…. Iam expecting to hear great news anyday about how tmobile got the,iphone if not iam moving to verizon…. Tmobile u suck big time

  • Caligirl22

    I hate how some people are all like I rather have another company buy t-mobile rather than at&t. I mean lets face it were screwed either way .. if at&t fails to take over t-mobile another company might come in. Wether it be some european carrier like orange or vodafone or america mobile. U never know if they gonna be worse than at&t. I’m sure if they do manage to buy t-mobile they gonna be just as bad as at&t or worse. That’s what people don’t get. Yea right now people are all like “o I dnt want at&t to buy t-mobile cuz they horrible ” but what they don’t realize is that if at&t fails and another company does succed to buy t-mobile there probably gonna be just as bad or worse than at&t then people are gonna be all like dam at&t should of bought it. I mean cmon I know how people are they never happy with anything. Cuz tmo has made it clear they want out of the US market..

    • Jarrod

      Orange or Vodafone wouldn’t have any interest in T-Mobile, Orange because they just became partners with T-Mobile in the UK. Vodafone because they have a substantial stake in Verizon. If a European company were to take over, I would hope it would be O2 or Three.

      • Cityofnewyork3000

        If Vodafone didn’t have an interest why were they one of the parties at the table trying to acquire T-Mobile before At&t came in with a monster offer which was grossly over priced just to do what? Get rid of the worst competition they have in the GSM space. Check you facts.

        • Frank

          Voda owns like 45% of Verizon. I don’t think the FCC / doj would go for them taking over T-Mobile than they did at&t.

      • http://pulse.yahoo.com/_AWWIKW6MNPUHOC4OVSHWUDWAHM Fabio

        Vodafone has been willing to buy Verizon’s stake and vice versa. Vodafone wants to have its own brand in the USA. So yes, they do have an interest in T-Mobile USA. They’re just not willing to pay a massive 39 BILLION for it.

      • Justhanging

        Huh? That’s a reason for Orange to “NOT” have an interest???? (scratching head) I’d say that arrangement in the UK would be a reason why they’d be interested.

        So a merger of Orange and T-Mob to do US business with DT spinning off the US assets of T-Mobile to the joint company.  And the existing partnership  continues for UK business.  Don’t see why not? Orange seems A LOT more like T-Mobile than Vodaphone does.

    • Frank

      Too many people are equating a loss for at&t with a win for T-Mobile.

      At this point, DT has written off T-Mobile as a discontinued operation, so their future is still uncertain.

    • 123

      How can another carrier be worst than ATT? It is a possibility, but it is a very unlikely one at that. 

      There is no way for someone to buy up tmo and make their prices more expensive than ATT or VZN. That wouldn’t make business sense because customers would be leaving in droves because at that point att and vzn would be cheaper and have better coverage. 

      We could get worst customer service than att, but it also could be better, which isn’t that much more harder since att sets the bar so low. 

      Imo, the worst possible scenario would be that the new company is as bad as ATT. But the key difference is that there will be competition, which will keep att and vzn’s prices in check, which is key here.

      • Realcool2000

        exactly. People forget ( some never even understood ) the reason why its important that the takeover not go through.

    • http://pulse.yahoo.com/_AWWIKW6MNPUHOC4OVSHWUDWAHM Fabio

      Whether the new company that acquires T-Mobile is bad or good is not what the issue is. The problem is the reduction of the national wireless carriers from 4 to 3. That’s why AT&T cannot buy T-Mobile USA.

    • 123

      EXACTLY FABIO!!!! 

      As I said before, competition is key here.

    • TMOemployee

      Well as a TMO employee, if ATT gets the deal done I am far more likely to be out of a job than if a cable company, google, or someone not currently in the wireless carrier market purchases TMO. Any company (even Orange, Vodafone, or any foreign wireless carrier) that is not a current US wireless carrier will have to keep the current TMO stores, retail sales force, engineering teams, trainers, CSRs, tech support, etc.

      Though DT and T-Mobile’s official stance is “there is no plan B” and they hope to get the deal done (wouldn’t you for $39B?) Many of us who are employed by TMO are hoping it fails and someone else steps up. Let’s face it, DT wants out of the US wireless business, but what they built is a very viable company, with a great company culture and values set, capable of being very profitable with the right backing.

  • BP

    It is no reason to care about this deal or any other deal related to T-Mobile anymore until T-Mobile is allowed to get the best phones again.  Without the best phones, T-Mobile will start to lose customers rapidly.

    • TMO Loyal

      What best phone are you referring to that they do not have? If you are referring the the I-Phone you are very confused. The GS2 is way better in almost every way. 

      • BP

        HAHA. Galaxy Nexus and iPhone doesn’t even know the GS2 exists.  

        • Huh NO Thanks

          That is because they are phones and not people.

        • Hark

          The gs2 is better tham the Iphone

  • http://twitter.com/johntajacobs Johnta` Jacobs

    Google needs to buy t-mobile or t-mobile needs to merge with Dish Network.  Beat AT&T at there own game DT !!!

    • Huh NO Thanks

      they’re
      there
      their

      For next time. :)

      • mrmiddl

         think you need to add the definitions, and expand the contraction.so they can understand better

  • Anonymous

    CHURCH!!!!!!!!!!!!!! 

  • Anonymous

    Please give Thanks to AT&T for digging their own hole. Also for getting egg on their face.

  • Habbit

    I think it’s hilarious that David ended this article with ‘Happy Thanksgiving!’

  • Imtheman

    Ok people its like this. Think about it. If someone offered you 39 billion dollars for a company that’s only worth like 18 to 20billion. Wouldn’t you sell? Even tho you at the top of your game. I don’t blame t-mobile. All left to do go back to your old strategy. Attack attack att,Verizon and sprint likewise before this deal was announced.

  • Mochica

    Those 4 billion dollars could be use to expand the 4G, go T-Mobile.

    • Anonymous

      If ATT writes that check, it will be made out to Deutsche Telekom and be on the first Lufthansa flight to DT headquarters in Bonn to bring even better service to their home market.

      • Littlesis1774

        I’ll tell them to bring the iphone to T-mobile USA