Report: SoftBank CEO Isn’t Ruling Out MetroPCS Bid

SoftBank, the Japanese carrier set to buy a 70 percent stake in Sprint Nextel Corp would not rule out making a competing bid for MetroPCS Communications. In an interview with the Wall Street Journal, SoftBank CEO Masayoshi Son told the paper that his company wouldn’t rule out any other deals even as it works to close the transaction with Sprint.

“We shouldn’t rule out any opportunity or alternative,” Mr. Son said.

In a separate statement, Sprint CEO Dan Hesse said a merger between Sprint and T-Mobile was possible in the long-term, but that Sprint had its focus on overhauling its network and closing the deal with SoftBank. Hesse says that a merger between T-Mobile and Sprint would create a “more formidable” competitor to Verizon and AT&T.

All things considered, it’s going to be an interesting 12 months in the US wireless industry.

Wall Street Journal

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  • jay_max

    A bid for MetroPCS doesn’t make any sense with regard to Sprint. They don’t seem to even possess much if any common spectrum licenses…unlike MetroPCS and T-Mobile.

    • SouthernBlackNerd

      Metro uses PCS and AWS. Tmobile uses PCS and AWS. Sprint uses PCS. Sharing one band is a lot of common spectrum. Lets not forget that Metro uses the same technology as Sprint, which is what most of Metro’s customers are using. Also that those customers roam on sprint’s network.

      Both companies can make a good argument. I want Tmobile to win Metro, since it would make them a more viable 4th option. If sprint gets Metro, then Sprint would have double the customers of Tmobile.

    • squiggleslash

      MetroPCS and Sprint PCS use exactly the same spectrum (well, Sprint also has the Nextel 800ishMHz stuff, but they’re moving away from them.) They’re both AWS + PCS.

      Indeed, I believe MetroPCS has more AWS than Sprint, which has far more PCS than MetroPCS, so they’d actually, in some ways, be a better match-up than T-Metro. I’d still be against such a merger though – sorry people, but I don’t see the value in having one less national player.

  • Fabian Cortez

    I didn’t know this was an all-you-can-eat buffet.

    “You been here for four hour. Eat more vegetable!”

    • https://www.facebook.com/michael.t.delgado Michael D

      And don’t waste the rice!

  • http://twitter.com/YepiimGS_Blanco Jay J. Blanco

    DT better step their bid up and to close the deal ! I think t-mobile USA really needs MetroPCS to sake up things in the US communication sector

  • JBLmobileG1

    Sounds like Sprint/Softbank wants to start a monopoly. Think about it… They are buying Clearwire, now possibly trying to buy MetroPCS with the possibility of merging with Tmobile in the future, and in their dreams.

  • LOV3BAS3DCUBANO

    Seriously, DT needs to stop this by bidding higher, than when the metro pcs merger is complete, make a deal with Cincinnati Bell and Dish network (after the satellite hybird system is approved) and merge them into T-Mobile. Dont let the Japanese come on our shores thinking they can do whatever they want because of a worldwide recession.

    • Kevin

      Better Japanese than German.

      • SouthernBlackNerd

        I also found it highly ironic that he gets xenophobic about a japanese company, which has no ties to the government, while pushing for DT, which is 32% owned by the german government, to be the one to stop them.

        • LOV3BAS3DCUBANO

          Asian powers buy in bulk, European companies are more likely to do co-op deals, they tend not to swallow up and monopolize an industry like for example the Chinese. Look what they did to Malaysia, and Singapore, they have control over their finances

    • Antoine M.

      I like the idea of making a deal with Dish Network. They have some unused spectrum. And maybe Tmo and Dish can bundle services.

  • GinaDee

    A tie up of Softbank/Sprint/Clear + T-Mobile would create job losses in the thousands for US workers. It wouldn’t be approved in this economy.

    Too much overlap in retail store presence and urban networks. It would be brutal. Large regional corporate offices would be closed.

    Sprint’s management would bungle the network integration and Verizon and AT&T would just swoop up the confused customers by the bucket full.

    I don’t think DT would let Softbank win over Metro PCS. You have to remember that DT is to T-Mobile USA that Softbank would be to Sprint. They are both (or planning to be both) majority owners. After buying shares and adding tons more debt Softbank/Sprint will have about $8 billion in reserves to spend on US network buildouts. Between the AT&T breakup money, tower sales, Metro PCS income and network synergies T-Mobile USA will be in similar graces. T-Mobile USA will also share similar LTE bands with AT&T AWS and Verizon AWS which should offset OEM hardware costs.

    DT has nothing to worry about. I don’t buy the concept that somehow Softbank will be the US wireless savior that will win over Verizon and AT&T subs. Softbank is a company riddled in debt with much more added soon that will be a majority stakeholder in Sprint.

    Sprint is hoping a new cash infusion from Softbank will lead them to victory. All it’s really doing is saving them from almost certain bankruptcy.