Kyodo: SoftBank’s offer to buy T-Mobile accepted by DT

Japan Softbank  to acquire Sprint

There’s a headline you perhaps didn’t want to read this morning. The morning after its chief appeared on stage at Re/code’s conference, reports are circling that SoftBank’s offer for Deutsche Telekom’s controlling stake in T-Mobile US has been accepted.

The news comes via Japanese publication, Kyodo. The site claims that Masayoshi Son proposed the move in a meeting with top T-Mo and DT executives earlier this month. Response from Magenta and Deutsche Telekom was apparently “positive”.

Of course, rumors of an offer being accepted don’t make a buyout certain. But, it’s the first step to discovering if a deal can be pushed through. So far, we’ve read multiple times that the DoJ and FCC aren’t keen on the idea, but could perhaps be persuaded to let #3 and #4 carriers (Sprint and T-Mobile) merge if the evidence for a stronger, and more competitive market was strong.

One thing is clear: Deutsche Telekom doesn’t feel precious about owning T-Mobile US, even if it’s in “no rush” to sell. From looking at the European market, DT would ideally like to concentrate its efforts overseas in its home continent, and provide stronger competition to the increasingly fierce market place there. Selling TMUS would give it some extra capital and room to do that.

Will the deal go through? Who knows.

Source: Kyodo (subscription required)
Via: Reuters

 

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  • David Tyler

    NOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOO

    • Cam Bunton

      This is crying out for a Luke Skywalker meme.. ;-)

  • tmofan

    Say it isn’t so!!!!

  • ProudPapa

    If John Legere became the CEO of the combined companies, which a lot of rumors point to, I think it “could” end up not being as bad as we are all afraid of. It would take a lot of work migrating the CDMA network to GSM, but ultimately, the coverage map would get a whole lot stronger.

    • Cam Bunton

      Yeah, I think that’s the positive spin here. What’s more, if this is only the beginnings of a deal it’ll likely take years for all the infrastructure stuff to get sorted, and Sprint is already in the process of replacing its CDMA networks. So a lot of that work could potentially be done before any actual merger takes place.

  • So long as the combined company takes on the “Uncarrier” ethos and uses the T-Mobile brand instead of the less powerful Sprint brand…. I might be able to come around to that idea… MIGHT. Having said that, there are no guarantees he wont go back on his word either.

    • Cam Bunton

      Uncarrier ethos + John Legere could make it an incredible carrier. But, how do they decide on a brand? Will the ditch Sprint and go with T-Mobile, or create a new one like T-Mo and Orange did in the UK? Lots of questions worth asking.

      • TechHog

        It’ll obviously just be Sprint, and millions of subscribers will be lost, making things even worse.

        • ProudPapa

          Not necessarily, since Sprint is owned by Softbank, I don’t see them holding onto the name of a dying company, or at least consider a change. Maybe we’d see something like “Soft-Mobile” or “T-MoBank”. :)

        • TechHog

          If you look at the sources, the plan is for Sprint to buy and take over T-Mobile.

        • ProudPapa

          Yes, and Softbank owns Sprint.

        • TechHog

          Softball owns Sprint, and Sprint will own T-Mobile. Thus, the T-Mobile brand dies and Sprint most likely stays.

        • Bryce

          Or Softbank US.

        • 21stNow

          I think that Softbank would be a bad name for a cellular service provider, as the name makes me think of a financial institution more than a communications company. It reminds me of the music stores that used to be named Turtle’s, Strawberries and Coconuts. The names didn’t match what the stores sold at all and I think that it had a negative impact on their overall financial performance, at least for the last two.

      • Ken

        Keep the more “sexy” T-Mobile Brand for their Postpaid Business & let all the various owned Prepaid Brands (i.e. Metro PCS, Boost Mobile & Virgin Mobile) rollup under a new ‘Sprint Prepaid’ Brand, which keeps both national brands and at a minimum the ‘Sprint’ brand may have more appeal to the growing No-Contract masses than the current Prepaid Brands?

      • bkin94

        I think “nextel” has a nice ring to it. Or maybe “voicestream”? I’m just spitballing here

      • philyew

        The T-Mobile brand is owned and used by DT in other markets. It’s unlikely they would sell the rights indefinitely in the USA but they may license its use for a transitional period.

        On the other hand, while we may love Magenta, it has something of a down market image for the 200+ million customers of the AT&T and Verizon customer base. It’s more likely that they would try a completely fresh brand image (as with EE in the UK) which pitches better to the middle class demographic.

        • Not only that, but Americans are closet xenophobes and would rather stick to the fraudulent S than to the foreign TMO.

      • It’s actually a simple decision: who brought in the bucks? S, ergo TMO goes away. Not only the brand, but also its ethos. I’m afraid that the resulting company wouldn’t be red (magenta + yellow), but orange (mostly yellow).

  • Bryce

    And they begged and begged for DT to not give in, but people care about how full their pockets are than you realize.

    • philyew

      As a public company trading on European exchanges, DT has an obligation to its investors to use its funds in their best interests.

      TMUS has the same obligation to its investors. Unfortunately, DT happens to own 67% of the company.

  • David Tyler

    Sprint is not being competitive at the moment, so I cant really see how they will lower prices if they merge with T-mobile. Please dont tell me about “Framily”. I dont see why I should go and find 10 people to get the $25.00 rate.

    • ProudPapa

      If John Legere became CEO of the merged companies, I believe that one of the first things he would do is kill the “Framily” crap. If you follow him on Twitter, you will know his disdain for that stupid campaign by Sprint. I don’t see Dan Hesse being around after this merger, given how he has driven Sprint into the ground on his watch.

      • besweeet

        Dan said to Bloomberg that he wouldn’t mind doing other things if a merger happened.

  • dkbnyc

    Cool! An extra billion in T-Mobiles pocket once the deal falls through. We can use some added capital in the upcoming spectrum auction. Thanks Sprint!

    Goodbye Sprint! You’re long past your “smell good” date. [Dan, who?]

    • TechHog

      T-Mobile will be forced to stand still for the 6 months regulators will discuss the deal for. Due to this and the bad publicity, T-Mobile will lose millions of subscribers even if the deal falls through. $1 billion won’t even cover half of what is lost. There’s no upside to this. If the deal falls through, both Sprint and T-Mobile are screwed. There’s no upside to this. The duopoly wins.

      • dkbnyc

        Such a bright ray of sunshine you are!

        • TechHog, Forever the Extreme Pessimist who always favors a worst case scenario.

      • philyew

        You really think DT are that stupid that they would poison their investment so badly?

        I have as many doubts as you do about the long term fate of the company, but they would have to be incredibly stupid to behave in such a way as to confirm our (and more importantly the feds’) worst fears with only a $1 billion ransom at stake.

        DT showed in the AT&T episode that they are smarter than that.

        • dm33

          Yes, DT is stupid enough to poison their investment. They apparently want out at all cost. No interest in TMUS.

        • philyew

          And yet the last time round with AT&T they were smart enough to rescue a company that was effectively dead in the water, with absolutely no means to execute an LTE strategy and remain competitive, by obtaining a break up deal that gave them both spectrum and funds to achieve a miraculous recovery.

          You have to appreciate the genius of that strategy and everything that has followed to understand that they are unlikely to be as stupid as you believe them to be.

        • TechHog

          DT and SB simply have plans to make sure the deal goes through. T-Mobile will be the brand to vanish, and as a result DT won’t invest any more money for uncarrier and network upgrades while the deal is discussed. T-Mobile can’t compete with the company that’s buying them, after all.

        • philyew

          We’ll see. I’m absolutely convinced that, if TM sit still for the next 9 months and take their foot off the Uncarrier pedal, they will confirm to the feds that the deal is anti-competitive, which will guarantee its failure.

          It’s too much of a coincidence that Braxton Carter said last week that the challenge was to prove that the merged company would continue to promote competition. How can you do that while at the same time abandoning your competitive strategies?

        • TechHog

          The announcement of this deal will kill competition for good. It doesn’t matter if it’s blocked. The day it’s announced, the duopoly wins.

        • philyew

          Gosh, you are a gloomy chap, aren’t you…. ;-)

        • kalel33

          DT had shown that they were willing to make as much money as possible during the sale of T-mobile, no matter how much it affected the customers. There’s a reason why T-mobile went from the perennial gold standard in customer service for years to dead last for almost the last 4 years. They tanked customer service on purpose and they made many anti-consumer changes to policies.

        • philyew

          The reason is that they swallowed the same BS as many, many other moderate to large corporations at that time – a belief that offshoring would significantly reduce their support overhead.

          At the same time, they were also working hard to trap as many people as possible in unjustified contract extensions to limit the bleeding of subscribers each month.

          I know you were working in their support organization at the time, but I was also in the TM customer forum every day throughout that period trying to do what little I could to help people who were being driven to despair by the idiotic and contemptuous policies.

          I don’t see that happening again. It was a disaster, but there is altogether more hope now to sustain things, and – as I keeping reiterating – if TM start looking less competitive during the run up to the decision, it will go very badly for all of them.

  • taron19119

    And if the sale of t-mobile goes through will this site get a new name and makeover

    • besweeet

      Maybe it’ll get a forum and some other user improvements…

  • 0neTw0

    Well I guess I will be going elsewhere if this deal goes through. If and only if Batman stays on I may stick around. But then again I want nothing to do with Sprint. So… ….I think Im going to be sick. :(

    • I really don’t think they’d be willing to get rid of John Legere considering just how much he’s turned the company around, although if John feels differently….

      • philyew

        At some point, Legere will be back in a suit regardless of what happens

        • fsured

          John would be getting a fat paycheck for this. He may try the laid back apperance to present and image that things wont change. I agree that he will be back to regular buisness.

  • qpinto

    Just waiting for the DOJ to block it and tmobile gets more money to expand further

    • myremarq

      O yeaa. that it is what i am waiting.

    • tmo_emp

      Yeah. Because that period between the announcement and the rejection was so fun.

      Expansion stopped. Care outsourced overseas. We stopped spending money on training, equipment, cars, travel, everything got cut to the bone.

      Let’s not do that again.

  • taron19119

    Ok lets get a petition started to block this merger

    • If John Legere is the new CEO and Sprint phases out CDMA, why block the merger?

      • bkin94

        An argument could be made that if they get too big, they will lose the motivation they have to be disruptive

        • HeatFan786

          It hurts competition when you centralize cell service within the hands of a few companies. What do you want? A horizontal monopoly or oligopoly?

      • macman37

        The merger/acquisition should be blocked because as of now, both Sprint and T-Mobile need low frequency spectrum like the 600 Mhz frequency. The FCC already stated that any attempt to merge may result in having the restrictions placed on both AT&T and Verizon reconsidered and removed thus allowing the Big 2 to have a buffet at the 600 Mhz auction. The FCC and DoJ should scold both of them to the point to where Deutsche Telekom, T-Mobile USA, Sprint, and Softbank look dumb for testing the FCC. Sprint does not really have much to offer to T-Mobile: T-Mobile already has plenty of 1900 Mhz PCS spectrum; and the break-up fee does not make up for the possible amount of 600 Mhz spectrum that they could be purchasing if the FCC removes the restrictions on both AT&T and Verizon. Very dumb and testy maneuver at the wrong time by both Sprint/Softbank and T-Mobile!! With Masayoshi Son pushing forward at an attempt to merge these 2 networks shows how much Sprint sucks and that only a merger/acquisition can only keep them alive in some form.

  • garblicks

    My gut tells me this will go through. They have been in back door talks for a while. Batman himself has said merging will have to occur. The hard questions are
    1. Will this be a take over where tmobile I’d under Sprint. I’ve yet to see a compost get bought out by a bigger one and the bigger one takes the smaller ones name.
    2. Will this combined company have enough resources after the merger to really give high quality national service at all levels.

    • T-Mobile is the larger smartphone company now. So, there is reason to believe that Sprint could fold into T-Mobile.

      • philyew

        They bought more devices than the competition, because of organic growth, but they are still smaller than Sprint.

    • focus2145

      The FCC will reject this. T-mobile will be bought out by dish network who is sitting on billions worth of wireless spectrum. John will then go to a combined dish and T-mobile and change the cable industry which desperately needs it. A combined dish and t-mobile will give ATT a run for its money,

      • gpt2010

        And Comcast will eventually buyout Dish. So all companies involved will be under the Comcast umbrella. Not sure if that is a good thing in the long run.

      • The FCC will reject every merger mentioned. Why? Because this is anti-competitive. Dish/T-Mob merger is anti-competitive. And Comcast & anything is anti-competitive. And if the FCC doesn’t reject it, then the federal courts most certainly will (I don’t see Congress doing their part of the job to clamp down on anti-competitive mergers), provided if there is no appeal to the judicially activist High Court.

      • The spectrum that Dish bought, not for billions but for $700 millions, is a 5MHz slice of unpaired spectrum. It could use TD-LTE at best and achieve mediocre speeds compared to TMO’s 20MHz FD-LTE network.

        • focus2145

          Don’t know where you’re getting your info but dish has been buying spectrum for a while. Dish won a 1.56billion auction for 1900mhz H block spectrum. Not including other spectrum that they own. That combined with tmobiles spectrum, metro pcs spectrum and some tmobile will get from verizon could rival ATT and Verizon.

        • I see. Indeed, block H in AWS-2 could perhaps be combined with TMO’s band 2 in AWS to widen its bandwidth from 20 to 30MHz!

          If Dish manages to convince the FCC to let it refarm its S-band 2000MHz spectrum for LTE, it could prove valuable too, but not until then.

        • focus2145

          My friend the FCC already approvd that in 2012. http://m.androidcentral.com/fcc-approves-dish-s-plans-use-spectrum-cellular-network. If I’m not mistaken they will get heavily fined if its not used by 2016. Fact check all my info its legit. Dish with Tmobile will be a power house.

    • conservative_motorcyclist

      To answer your first question, that happened when Cingular bought AT&T Wireless and made “New Cingular” There were a lot of consolidation pains (not as bad as Sprint/Nextel). The new company had to commission special phones (Nokia 6340) that could use both TDMA and GSM networks while they tried to shut down Cingular’s larger TDMA network and convert it to GSM. Then they changed their name to AT&T.

      Stephen Colbert explains the Cingular/AT&T mergers the best:
      http://www.gametrailers.com/videos/9b35wz/cingular—at-t-merger-explained

    • UMA_Fan

      Cingular bought at&t and changed its name to at&t

      • 21stNow

        That was a little different. The BellSouth/SBC group that owned Cingular Wireless already had the rights to the AT&T name. The entire company changed to AT&T, not just Cingular Wireless. Also, Cingular Wireless bought AT&T Wireless and then changed to AT&T Mobility after the parent company changed to AT&T. There are slight differences in the names and entities in play here.

  • This should be the preconditions of the buy:

    1. Softbank and Sprint must get do away with all existing contracts within 18 months.
    2. Softbank and Sprint must also switch to being a GSM network.

    • fsured

      I don’t think doing away with the contracts would be a condition for them. They offer both off contract and contract prices now. This would simply boost their numbers of people out of contract and anyhone who wants, for whatever reason, to go back to contract can. A condition will be the specturm the company would have to give up.

  • tidus1ph

    I’m hoping this will fail.

    Question: Which technology are they going to keep? GSM or CDMA? If GSM stays, any really useful bands they can use from what Sprint currently have?

    • itguy08

      PCS1900 and with VoLTE They may be able to use the SMR800 that Sprint has – IIRC it’s an official LTE band (albeit an odd one). The 2.4 Ghz stuff is not useful for mobile outside of cities.

  • Willie D

    The fact they accepted alone says to me that DT isnt listening to it’s customer base of its largest mobile unit, showing me they don’t care too much about us now, nor in the future..so if I’m gonna get screwed again, like I did on Sprint, I’d like to know upfront..leaving me to pay off my EIP this month, ask for my unlock codes and go to AT&T next month. Have ZERO desire to sit around till the government approves or disapproves the merger that will only make it a distant 3rd and not bring anything to the table.

    • bkin94

      Don’t you think you’re overreacting? You have the right to leave if you want the second the combined company, or even if the premerged T-Mobile does something “sprint-like”, but switching carriers solely based on the idea that sprint is evil is kinda silly.

      • kalel33

        Tell that to all the people that left T-mobile during the AT&T acquisition attempt.

    • philyew

      I am just as disappointed by the idea of the merger as you, but I really don’t understand the idea of going to another carrier, unless that represents a better price/performance proposition…and then why wouldn’t you do it regardless of the takeover status?

      If you are out of all contractual obligations with TM, no one can magic you into a new contract without your explicit consent. The minute it looks like Sprint are about to try and screw you again, and any time up to that point, you are free to make a move to improve your situation. But until there is a material improvement available, moving would simply be a case of cutting off your nose to spite your face.

      • 21stNow

        I get where Willie D is coming from. He has prior experience with Sprint. I wouldn’t want to give my money to a company that has treated me badly in the past, either.

        It sounds like Willie D likes T-Mobile now and only if forced, would pick AT&T over Sprint. This doesn’t seem illogical to me.

        • philyew

          He said explicitly he would “go to AT&T next month” and had “zero desire to sit around till the government approves or disapproves the merger”.

          I don’t know what you would call an over reaction, if that isn’t it.

        • 21stNow

          He said that he would like to know upfront about any pending merger, then stated the steps of his plan to change service providers. I don’t think that it is illogical to plan for a change in service providers, especially when cellular service costs may be one of the larger monthly expenses that someone has. Add in any time that you may need to test the quality of the services at your locations, planning makes a lot of sense.

          The other factor of this is that it can be a mess to stick with a carrier that is in buyout limbo. The foolishness of Value plans being two-year contract plans during the AT&T proposed buyout period is just one example of abnormal and unfavorable activities that occur while the company’s fate is being decided.

        • philyew

          I agree that having an exit plan is sensible, and maybe that is what Willie means looking at the first statement in isolation, but the cumulative impression from the TWO statements I quoted suggests that he is hot to trot.

  • Paul Garrison

    I rather have Comcast. If this gets pass regulators, I’m gone to AT&T. I think a large part of the T-Mobile customer base will leave, because many have dealt with Sprint and don’t won’t to return to them.

    • UMA_Fan

      If tmobiles executive team is left in charge though there’s nothing to worry about

      • Paul Garrison

        Why? Softbank has done anything positive for Sprint, but copy the Uncarrier. Everyone knows what is best for customer, but the customer.

      • philyew

        The question is will the stockholders settle for less than 50%+ margins? If not then it doesn’t matter who make up the executive team – you can’t be an Uncarrier and take that level of margin from your customers.

        My hope for all of this was that the Uncarrier movement would last long enough to cause a permanent reduction in margins for all the main competitors. It’s not very likely to happen now.

    • Ken

      Yes, the name is “Sprint” but there are new people involved (i.e. Softbank) that in less than 1-year have shut down the worthless iDEN Network, acquired complete control of the vast Spectrum Holdings of Clear and successfully overhauled much of their Voice & Data Network!
      Folks, this is not a bad thing, Masi Son has a Vision I can see coming together!
      PS: While ‘throttled’ their Boost Mobile Brand now has $40, $50 & $60 Unlimited No-Contract Plans with $100 Port-In Credits that make getting a brand new 4G LTE phone as low as $29.99…try the “New Network” out first before rehashing the past that is the past…

      • besweeet

        The “New Network?” Not sure if you’re trolling but Sprint’s data speeds are trash in most cities.

        • And S is the most expensive service, and a bad service at that.

        • Kylw

          That’s a lie

        • Kyle

          Actually that’s a lie.

        • besweeet

          I guess it’s also a lie when RootMetrics rates Sprint last in data speeds in almost every report.

      • Sprint’s service is just as expensive as Verizon’s, plus none of the good phones are prepaid.

  • lion7718

    I can’t believe we have to go through this again….

    • MadJoe

      What did you go through last time? Please, tell me how difficult it was to just keep paying your bill and using your cell phone during the AT&T attempt…we all want to hear about it.

      • Stefan Naumowicz

        He/she might be an employee, in which case there’s every reason to feel that way. Don’t jump to conclusions

      • Trevnerdio

        Hm, let’s see…ridiculously long hold times to customer service, and then when you got through to them, they were unwilling to help/had their hands tied. Furthermore, nothing happened in terms of advancing coverage, speeds, anything. That’s why it was terrible.

        • MadJoe

          Ridiculously long hold times…lasted about as long as it took for all of the ridiculous people who lost their sh!t over the AT&T announcement to call in and ask their frantic, idiotic questions and/or heatedly demand answers or to be let out of their contracts. Maybe a week? Possibly 2 weeks before everything settled down? I don’t know because I rarely have an issue I need to call in about. When I have called in (May/June of last year I was having data issues that took a few phone calls to get resolved), my hold times were very short.
          Furthermore, I feel sorry for you that you live in the only place in the US that signal and speeds haven’t improved in. I’ve noticed a decent increase in coverage and speeds in my area.

        • Trevnerdio

          Speeds and coverage have improved exponentially…but not during that holding pattern. And no, it was bad for a long time. A while ago, I called in to get our fees for going to Simple Choice on a payment plan. They apparently set it up (it was over $1000) and then when I noticed our bill was still ridiculous, I said what gives? And they had no idea what a payment plan for that was and that they didn’t offer it. They swore up and down they couldn’t help me and we got juggled about, being put on hold time and time again over multiple calls. Finally, after seriously threatening to cancel, they agreed to give us a 4 month (down from 10 month) period to pay off the fees. We were happy with that and decided to stay, but that was the worst experience we’ve ever had with T-Mobile. Being told everything is set up and then doing a bait and switch isn’t great customer service. Now I agree, their hold times are excellent now and the people are friendly and helpful, but for a while there, things were tense and stagnant.

        • MadJoe

          I feel like the stagnation was there previous to the AT&T attempt. I was actually thinking about switching before the announcement was made, but saw an opportunity when they did announce it and rode it out. And it worked out for me. I get better coverage, better device choices (before the AT&T thing, T-Mobile device choice was CRAP! with the rare exceptions) and now my signal is only getting better. I don’t want Sprint to take over, but I’m also not going to stress about it. I’m trying to focus on the potential benefits, like if they pump T-Mo full with another $1B infusion, hell yes! Since the most likely outcome is going to be the FCC says “No”.

        • Trevnerdio

          Right, I agree on all points. Although I did like my high end Android phones, I agree that their selection could have been better.

      • lion7718

        Not even gonna bother…

      • kalel33

        I was a rep during the AT&T acquisition attempt and they made numerous changes to policies that were very anti-consumer and they fired all the people that were there for years by changing the metrics to numbers almost nobody hit. I started in a call center with 600 reps and when I quit, there were only 178 remaining.

  • KingCobra

    This shows that T-Mobile will likely be sold. I just don’t believe it will be to Softbank. Dish will probably come along and clean up, scooping up T-Mobile after Softbank’s bid gets rejected by regulators and T-Mobile collects the $1 billion+ breakup fee.

    • JayMo86

      I really hope this doesn’t go thru and that breakup fee gets flipped like the last one

  • garbage

    oh look the two worst phone carriers will combine together creating the ultimate worst phone carrier, no thanks ill stick with Verizon where I have service EVERYWHERE, no dropped calls, and my bill isn’t bad at all. you pay for what you get kiddos. Don’t bs me about net speeds, Verizon is better and also how fast do you REALLY need to surf facebook ?

    Tmobile doesnt care about customers or its employees, they are a garbage fake ass rah rah company, trust me i worked for them and was a customer.

    • Chris

      Everywhere? Ha! Keep telling yourself that. I know someone that works at a refinery and when they enter those thick walls only AT&T has reception (Verizon, Sprint and T-Mobile craps out). I love T-Mo but thats a pretty impressive building penetration from AT&T.

      • One big problem with AT&T? They do not have good reception in Blackville, S.C.

      • fsured

        Again that just depends on location and tower hardware. I know people who work in a building and had horrid singal from Verizon. Switched to T-Mobile and have perfect signal in the building.

    • Paul

      Glad Verizon works for you. I prefer T-Mobile as it is.

    • I prefer GSM carriers, as you do not have to change your mobile number every time you get a brand new device. I’ve been with a CDMA company before (Alltel) and having to change the number was not a good feeling. Thank you so very much.

      • Stefan Naumowicz

        Cdma does not required you to get a new number when you get a new phone… Lol

    • Enjoy your CDMA fiefdom. I have a passport and will travel. I stand with the rest of the world shunning the CDMA plantation.

      • bkin94

        It’s possible that the combined company will opt to go for the game network

      • Kyle

        Cdma is dying and most new phones even Cdma phones are Verizon and Sprint have gsm bands

        • Are they unlocked like the GSM ones bought from retailers or carriers?

        • kalel33

          They are unlocked for global use, at least with Verizon. Since you’re issue is traveling abroad then Verizon would fulfill your needs.

    • notyourbusiness

      May I ask WHY exactly you’re here?

    • Steve

      Depends where you live, I live in the NorthEast, and yes TMobile is a lot faster. None of the issues I had with Att and streaming music or video. Its also a lot cheaper, my family saves over 55 bucks a month and we upgrade to a new phone every 6 months. I travel between boston and new york with no issues. I lose service out in cow country which I can live with.

  • wsj

    If they drop, GSM for CD its back to AT&T which I really don’t want.

    • gpt2010

      Same here! I don’t do CDMA.

      • Kyle

        Everyone will be lte soon.

        • One day, but methinks that voice circuits will be with us for at least this decade…

    • Unfortunately, same here as well. Also, the fact that AT&T has the most extensive collection of Windows Phones in its portfolio.

      • monkeybutts

        But Verizon seems to be the favorite carrier nowadays for Nokia. They really should stop with the exclusive BS

    • DDLAR

      CDMA is mostly dead already. GSM will be dying soon. Everyone is going to LTE for data and voice. The only national carrier that appears to be stuck with CDMA for the foreseeable future is Sprint.

      I think this is one of the reasons Sprint wants T-Mobile. That is, it’s hard to transition from CDMA to VoLTE (Voice over LTE) since you can’t hand off a VoLTE call to CDMA. However, you can hand off a VoLTE call to GSM. That’s the reason both AT&T and T-Mobile have already started deploying VoLTE. Verizon’s LTE network is extensive enough that they can deploy VoLTE this year. Sprint won’t have an LTE network that’s ready for VoLTE for many years. A practical solution for them would be to quickly share Sprint & T-Mobile’s LTE network and then start migrating customers GSM phones that use VoLTE on the combined LTE network.

      That is, the near term migration plan would be towards LTE and GSM. CDMA would probably stay around for a few years and then be decommissioned.

      • Trevnerdio

        LTE is GSM-based.

        • No, it isn’t, LTE has nothing to do with GSM, UMTS or CDMA. Though one might say that LTE shares more traits with UMTS than with CDMA.

          It’s easy for GSM carriers to hand off VoLTE to UMTS, which can share data with voice circuits by design, unlike EVDO, because it’s already part of their networks.

    • Verizon already said they would phase out CDMA. Most expect that Sprint will do the same.

  • NoSprint

    I really hope it will be a T-Mobile company and not sprint. Ive never enjoyed sprint and I love what T-Mobile is doing. NO CDMA!!!!

  • Paul Garrison

    I don’t want Dish either, look want happen to Blockbuster. However, If Dish does buy T-Mobile rumors are that Dish and T-mobile are on Comcast radar for take over.

    • philyew

      Blockbuster’s bricks-and-mortar model had passed its time and was too much of a burden on the company. There’s no real comparison with mobile telephony.

      • Paul Garrison

        No one is denying that, but they waited entirely to long to move a redbox and netflix strategy.

        • philyew

          Which Netflix strategy? Mail or streaming? Dish acquired Blockbuster in April 2011 and launched their video streaming service in September of that year. Hard to see how that constitutes waiting “entirely too long.”

    • MadJoe

      Comcast taking over T-Mobile would be the one way to get me to switch to a different carrier. Comcast will never get a dime of my money. Period.

      • monkeybutts

        Only reason Comcast gets my money is AT&T U-verse sucks and they are already enforcing data caps with U-verse. Those are my only two options

  • Nick Gonzalez

    DoJ do your job.

    • Kyle

      Do you want better service? And this is not Sprint.

      • Nick Gonzalez

        Yes to better service. No to the dead weight Softbank bought last year.
        And I’d rather have an American company buy T-Mo US anyway. I’m just saying.

  • WhoMan

    I am done, I am not gonna work for a company again through a potential buy out. Sales is sales, and my services will be appreciated elsewhere, plus the stability is non existent.

    • Paul

      I don’t blame you. The way T-Mobile handled the AT&T merger ordeal was terrible. Customers and staff were lost and for no good reason.

      • philyew

        They could have handled the PR and employee relations much better, but the deal itself was genius and enabled the company to recover from the brink of disaster.

        Think about it; they had no spectrum or funds to make a move to LTE, without which they would have been unable to compete for the last two years and the company would have virtually no value by now.

        • JayMo86

          They got lucky the deal didn’t go thru. That extra cash they got from the bust merger is what paid for the advancements we’ve enjoyed the past 2 years

        • philyew

          They set up a deal where they won either way. If it went through, they got way more for the company than anyone else would have been willing to pay at the time, and if it failed they got a breakup package that paid for the advancements that were crucial to the company’s survival.

          You’re not “getting lucky” when you can’t lose.

        • kalel33

          Huh? That money they got from AT&T went straight to DT, not T-mobile.

        • JayMo86

          Nah, they used some of that extra capital to pay off debt and purchase spectrum

        • Paul

          The “If the deal doesn’t happen” is why I stayed. That’s why I’m curious if this goes anywhere at all. The FCC can stop it, and we don’t know the details yet. Sprint can’t afford to have the deal fall through.

      • Dj Chea

    • Dj Chea

      Bye Felicia…

      • trife

        LMAO

      • Seraph

        Thank you

  • sushimane

    Damn crossing my fingers on the merger get rejected. The 600mhz spectrum is getting close and its a good chance for t-mobile to catch up with sprint in customers base.

    • Maybe TMO will then have extra cash, coming from the break-up fee after the FTC denies the merger, to bid for this precious spectrum.

      • bkin94

        I read that Softbank was going to try for a small breakup fee. Take it or leave it, everything is speculation

      • Adrayven

        Softbank is cash strapped themselves.. This won’t be like with ATT by any measure.. just bad and more bad.

        • Bryce

          Softbank is far from cash strapped. They have a large controlling stake in Alibaba which brings them enough money to buy T-Mobile every year.

        • dontsh00tmesanta

          Yet they needed to go to banks for this?

        • Bryce

          Where do you think they keep their money? They can’t pull the money out of thin air.

        • Bryce

          That’s typically where you get your money from.

        • dontsh00tmesanta

          No they went to borrow money not to withdrawal haha

        • dontsh00tmesanta

          They are strapped they have to borrow

  • gpt2010

    In a perfect world, it would be great if TMO USA had enough money to buy out the DT shares themselves. But that is in a perfect world.

    • Kidney_Thief

      In a perfect world, DT would wait six months and allow T-Mobile to buy themselves back, piece by piece.

  • Paul

    Curious what the details of said offer are?

  • No, I didn’t to read this headline this morning or ever. Joining two so different companies, a value company and another hides its incompetence through false advertising, to numerically match the other major carriers places the new company in a complacent position. It’s growing a company not by conquering customers, but by buying them; it didn’t have to attend to the needs of consumers for the best price, but to just buy them outright. Especially when the company making the offer is the unscrupulous one, consumers are in for a raw deal.

    • Kyle

      You apparently have seen the changes made since Softbank took over. Sprint has made some great changes and major improvements . Not enough enough but they are happening.

      • If S were a normal company whose service wasn’t in the crapper, improvements would be acceptable. But, as it’s the worst carrier of all, who cares when the prices are still the highest overall and the service, the worst?

  • notyourbusiness

    It will make me sick if the deal goes through. And if it does, I’ll begin looking elsewhere. I would say I’ll just switch to MetroPCS, but that’s owned by T-Mobile, which would mean it would also belong to Softbank. It’s a dark day that DT accepted Softbank’s offer. Absolutely never expected this.

    • MadJoe

      How could you not expect it? DT has been trying to shed T-Mo US for years. It actually turned out in our favor (I’m assuming you’re also a T-Mo customer) recently, since AT&T paid them billions and handed over spectrum for the failed attempt, that DT then used to make T-Mo US more attractive to other buyers by building out the network and LTE (which continues today), and purchasing Metro for their spectrum (which we now get to use). Now, if Softbank actually manages the acquisition, that might be bad news, can’t say (Sprint seems to be getting better with Softbank at the helm at least), but if they fail, they will pay DT a bunch of money for the effort and then DT should continue to do everything in their power to make T-Mo US look more attractive to potential buyers (which usually benefits the customers). Hang in there!

      • notyourbusiness

        I didn’t expect it because of all the great changes T-Mobile has made in the past year plus. After reading this article, I pretty much panicked (in spite of the fact that the DoJ and FCC could still nix this thing) and requested unlock codes for my last two phones. If this goes through and they don’t keep T-Mo as it currently is, I’ll go to some prepaid carrier (not ATT or Cricket/AIO – avoiding that like the plague).

  • UMA_Fan

    Doesn’t this throw a wrench in their 600mhz auction plans?

    • philyew

      It may well do, yes. Or at least their ability to compete for the 30% of spectrum that falls in the reserved category.

    • volvoV70guy

      Why would it? This deal would take a long time to close. Probably not until after the auction.

  • Omar Boyer

    Like I said before if that does happen ill take my 3 tmobile lines to either at&t or verizon..

    • dkbnyc

      I’ll go back to tin cans and beepers.

      • CarlosDanger

        Lol!

  • Abe_The_Babe

    Here we go again.. Step up to the plate again, DoJ.

    • Kyle

      You better hope they don’t. We need better service and competition.

      • Abe_The_Babe

        Are you trying to tell me joining Sprint would be a good thing?

        • kalel33

          If T-mobile customers got back the unlimited data roaming like they did before then yes.

  • Adrayven

    Sad part is DT is likely screwing every other small carrier, including it’s own T-MO US unit, out of it’s chance to get into the 600Mhz spectrum auction and doesn’t care. One of the stipulations of the auction was if T-Mo and Sprint attempt to merge that the limits on ATT / Verizon would be removed! Great job DT!

    • k

      I do think they are doing this in advance of the 600mhz, just so they are ready to bid on it. However, considering the amount of debt/leverage to do this deal, I wonder if SprinTmo will be able to acquire anymore spectrum. Not to mention that FCC/DoJ may force SprinTmo to give something up in exchange for letting the deal happen.

      • Kidney_Thief

        That’s been a huge concern of mine from the beginning. I don’t think Softbank can purchase T-Mobile without seriously compromising their ability to bid competitively in the upcoming auctions. Both companies might be worse off if they combine.

        • k

          no doubt. Mr. Son appears to be one of those executives that is comparable to the story “The Emperor has new clothes”. What he did in Japan is significantly different from the US. I don’t think he’s evaluating his options or constraints very well.

    • philyew

      They didn’t stipulate what changes would happen. Here’s what they actually said:

      “Finally, the Commission clarified that the rules it adopted today are based on current market structure, and that it reserves the right to modify the rules based on significant market changes, including proposed transactions.”

      It could be that they simply assume that TM and Sprint spectrum holdings should be considered as a single entity, which would likely exclude them on the same basis as AT&T and Verizon. They would also possibly reduce the size of the reserve from 30% in recognition of the fact that none of the larger carriers could bid in that space.

  • k

    A shame. Regardless of allegiances to either company, looking a pure numbers and execution to market, technically, T-Mobile wins IMHO. Now you have incompetence buying competence. Chances are, incompetence will still win out. Selfishly, my hope was in sustaining dwindling unlimited data options in the market place. Now I’ll have to go back to Big Red, who despite is less attractive offers, at least runs a tighter ship with better execution. Darn. John Leggere, I hope you see this and raise heck at your next meeting. Go out screaming and kicking, not with a whimper.

    • Kyle

      John Legere has said he supported the merger. So not going to happen.

  • shadlom

    I call shenanigans!

  • JaswinderSinghJammu

    I see nothing wrong with this as long as John Legere is the new CEO for the combined company.

    • k

      He needs to bring his CTO, Neville Ray with him. and the Marketing officer. Neville Ray appears to be the brains around the LTE rollout. He’s executed well and is building out according to what appears to be a well thought out plan.

      • randomnerd_number38

        If I could +1000 this I would. Need the Neville.

  • monkeybutts

    Save us Google, Facebook, Microsoft, anyone but Softbank

    • bkin94

      You want Google and Facebook to scan and track your phone calls and texts? I’m not a fan of this merger, but I wouldn’t really want any of those. (I don’t think Microsoft has been making the best decisions lately. I would be worries if they were put in charge. )

      • Fr0stTr0n

        If your on a phone, your being tracked anyway. Get over it.

        • HeatFan786

          You’re*.

        • Fr0stTr0n

          Dis is interwebz, spelling is irrelvantz

  • double dip :)

  • lol i hope both of these companies are aware and ready to lose a crap ton of customers if this ever happens. all the momentum TMO has gained will be lost in an instant.

    • Kyle

      Idiot

  • Great.. SMH

  • Mike

    Only good thing I see is T-Mobile/Sprint being able to compete with Verizon and AT&T at the upcoming spectrum auction. If softbank keeps the brand’s separate or faze out the Sprint name and keep the current CEO of T-Mobile I’m all for it .

    • philyew

      What they gain in their ability to bid for the 70% of spectrum open to all bidders, they will likely lose from being excluded from the 30% that was to be reserved. On the oher hand, the proportions might be changed, if TM is no longer allowed to bid in the 30% pool.

  • Randall Lind

    DT stockholders would sell their mothers if there was a offer. This is really not new news.

  • $15454173

    Not going to happen.

  • Stone Cold

    I am at the point where I no longer care what happens with the Softbank /T-Mobile situation. This is clearly wait and see thing now.

    • Paul

      I’m pretty much just waiting for details as well. FCC can stop it, and I have a feeling this won’t go very far.

  • dkbnyc

    Okay… This story is fluff. “Deutsche Telekom AG DTEGn.DE has agreed to a plan by Japanese mobile company Softbank Corp 9984.T to buy T-Mobile US Inc, the fourth-largest U.S. mobile carrier, Kyodo news agency reported, citing industry sources.”

    Deutsche Telekom DID NOT agree to sell T-Mobile. They DID NOT ACCEPT AN OFFER. They heard a PLAN from Son and said, that sounds good. NOTHING MORE. Please, whoever is running Tmonews – GET THE OTHER GUY BACK! This site has become… Not worth my time.

    • randomnerd_number38

      The wording might not be the best in the headline, but hey, welcome to the tech blog world.

      Fact of the matter is this is the first we’ve heard that DT and Softbank have agreed upon a plan. All the previous stories have indicated they were still fighting over the details.

      Don’t shoot the messenger, man. I miss David too, but it’s now pretty clear that he’s where he wants to be (an employee of T-Mobile, in case you missed that). I think Cam is doing fine.

    • philyew

      The exact same headline was all over the tech and business media from early this morning.

      One of the earliest was http://www.businessinsider.com/r-deutsche-telekom-accepts-softbanks-offer-to-buy-t-mobile-kyodo-2014-29

      Even the earliest Reuters report carried that headline, though it has since been updated.

      You think David would have grabbed an exclusive on this with a different spin four hours ago? LOL

  • Ryan

    Well this just made u carrier 5.0 fairly interesting…..bet legere and son walk out together saying how this will relieve more pain points….smh

  • princedannyb

    I read an article recently that China Mobile is interested in entering the US and if the DoJ blocks SoftBank from getting T-Mobile they may make a move. I see alot of pros and cons to a combined Sprint/T-Mobile. What I hope for T-Mobile is that whoever purchases them from DT, it will be a company willing to invest in the network a lot more than DT has. If Sprint and T-Mobile do merge, they need to do some serious rebranding.

    • Willie D

      Considering Sprint has not invested within their own network via Softbank pocketbook funds, why would they invest in TMobile?

  • Fr0stTr0n

    I’ll just go back to Verizon if this happens. At least the coverage will be excellent for the butt pounding trade off.

    • Paul

      At least wait for the last minute deal Big Red will offer. Plus, we need to know the details that agreed on and the FCC has to be okay with this. FCC can stop it.

  • Bigjavar101

    If anyone bought T-mobile, I feel like Google should. It’s been said that Google was looking to enter the mobile market, and the Google name is known worldwide – so it could have a positive effect on the perception of the T-mobile brand if that makes sense. Also Google is swimming in cash, which means we could potentially benefit by them purchasing additional spectrum and filling the coverage holes that t-mobile couldn’t fill… Just a thought…

    • Chad Dalton

      i agree, that would be a great parent company!

    • Paul

      I’d be all for Google buying Magenta.

    • Justin Johnson

      Never going to happen, Google has the name and money to do it. But they have no need/want to. They won’t gain any ad revenue and ATT, VZW and Sprint would all have fits making it harder to get Android phones in peoples hands.

    • notyourbusiness

      Not everyone is a fan of Google, nor does everyone on T-Mobile want to have to use Android, which I would imagine they would push over all else. I do have an HTC One, but Windows Phone is my main and daily OS of choice.

      • Bigjavar101

        I don’t think if Google were to buy T-mobile they would stop the sales of other non Android devices… that would be plain stupid. I’m just a fan of a Google/ T-mobile merger because of the money Google can pump into T-mobile

    • Bilesha Welton

      Fuck no. I like my privacy, my ad-free business email, and my Windows Phone. The less power Google has over my ability to communicate, the better!

      It’s really sad that Americans in general feel the need to allow major corporations to control every aspect of their lives. This is how corrupt BS like the Softbank merger (rumor or not) is allowed to run rampant.

  • dontsh00tmesanta

    It probably won’t happen unless Softbank pays off fcc

    • Kidney_Thief

      They’d have to pay off the DOJ and the FTC, too.

      • How much does a senator run for these days, a ticket to Vegas with an escort and $10000 in chips, give or take? Consider it done.

        • dtam

          I think the gov’t is corrupt, but I’m thinking it’ll take more than that to buy their vote.

        • Kidney_Thief

          Fortunately, the DOJ and FTC have nothing to do with congress.

        • No, siree, because the political appointees in 3-letter agencies are not partisan at all when a senior senator of their party accosts them. No, sir, not in these you-ass of aye.

        • Kidney_Thief

          So, like, are all your responses going to be like that? Should I save my breath? Should I be donning a tinfoil hat?

        • If you haven’t read the reports that recent decisions by the FCC were split along party lines, you’re not wearing a tinfoil hat but probably a diaper.

        • Chad Dalton

          lol..

        • Kidney_Thief

          In that case, I would only be concerned if you’re a republican, as all three organizations (FCC, DOJ, and FTC) are democratically controlled.

        • You’re definitely wearing diapers. From this post, it’s probably time for a change.

      • dontsh00tmesanta

        Indeed

  • S. Ali

    Why waste the next year in regulatory hurdles. That means T-Mobile won’t expand LTE, and Sprint will continue to falter.

    • Kidney_Thief

      They said that network improvements would continue, whether or not another company put in a bid to purchase them. Hopefully they stick to that, because being a T-Mobile customer during the AT&T buyout was a pretty awful experience.

      • kalel33

        Yeah, they said a lot of things before and during the AT&T acquisition that weren’t true. They tell you what you want to hear.

        • Kidney_Thief

          I’m not saying that I’m drinking the kool-aid, I’m just saying that in a recent press conference, they were talking about mistakes that were made during the AT&T takeover attempt, and they admitted that not aggressively improving their network during the whole process was a terrible mistake that they won’t make again.

    • turtle6988

      I think T-Mobile will continue to build. They won’t make the same mistakes they did when AT&T tried to buy us

      • Paul

        My fear is that they will halt expansion, but I hope they learned from AT&T. Otherwise they will see the exodus of customers just like with AT&T.

      • S. Ali

        Unless that expansion involves using the same towers at Sprint, it would be a colossal waste of money

        • turtle6988

          There going to deploy LTE on the GSM band and the 700 band they received from Verizon

        • philyew

          There is a considerable overlap. I posted a quote from Crown Castle a while ago which indicated the number of towers they had where TM and Sprint were colocated.

        • Geographical overlap is meaningless when different radios are required in the user equipment. There’d still have to be duplicated costly tower equipment with no benefit to customers.

    • philyew

      I think one thing we can be sure of is that, if TM starts to rein in its competitiveness before the deal is even done, they will utterly fail the test that the takeover has to improve competition, rather than reduce it.

      In my view, it is even more important now for TM to give at least the appearance of pushing forward with Uncarrier – hence the announcement yesterday of Uncarrier 5.0 in three weeks’ time.

      • It took a foreign company to shake up the market. A company which didn’t have as many buddies in their pockets inside the beltway. With its acquisition by an American company, TMO will become yet another predator corporation defended by their lackeys in the government at the expense of us the people.

  • Vaughn is Right

    This isn’t certain yet… but something tells me that TechHog just set himself on fire somewhere!!!!

  • mreveryphone

    I’ve said it once and I’ll say it again… The nexus 5 was a test phone to see if it could co-exist on both tmobile and the sprint network which it did just fine. It’s only a matter of time and of course… $$$

    • The version sold for one carrier was different from the one sold for the other. Additionally, the GSM one was sold by at retail, and the CDMA one, only from the respective carrier.

      • IamTwone

        You are wrong there is only 1 model for the US and another model for other country bands, I know I have a sprint version and use it on tmobile when i ported over works fine on lte and hspa+

        • The retail N5 doesn’t have CDMA, while the CDMA one from the carrier is both CDMA and GSM.

        • Kidney_Thief

          Directly from the Play store:

          2G/3G/4G LTE
          GSM: 850/900/1800/1900 MHz
          CDMA: Band Class: 0/1/10
          WCDMA: Bands: 1/2/4/5/6/8/19
          LTE: Bands: 1/2/4/5/17/19/25/26/41
          If you’d like an explanation of what all this means, you may refer to this page (http://www.phonearena.com/phones/Google-Nexus-5_id8148) and scroll down to technology.

          Every single US model is exactly the same.

        • I stand corrected, thanks.

        • mreveryphone

          Nice! Thanks for the back up!

        • Kidney_Thief

          No problem!

        • Willie D

          Umm, the nexus 5 does have CDMA and GSM in one device and LTE support of both Sprint and TMobile. I know, I was a customer of Sprint and used the Nexus 5 and moved to TMobile and am typing on it now…

        • maximus1901

          He’s clueless about so much.

        • Willie D

          Yeah I know. He speaks using terms and ideas from 5 years ago and knows nothing of technology.

        • Guest

          You can’t activate a CDMA Phone unless its specifically intended for the carrier it’s supporting. This is not like GSM. A Sprint phone will not fully function on T-Mobile because they do not support all the bands that T-Mobile uses.

      • mreveryphone

        Nope not true at all…

  • DDLAR

    If this happens, Sprint will get two additional frequency bands that they don’t already have (700Mhz lower A and AWS). I think they will have more frequency bands than AT&T and Verizon combined. What a mess!

  • vinnyjr

    Sprint will destroy the fast data speeds we are enjoying as T-Mobile customers. Sprint was so dead against the AT&T – T-Mobile merger but now all of a sudden they want T-Mobile and their radio frequencies are so different, what a freaken mess this will be. T-Mobile is a GSM Network while Sprint is a very ancient and slow CDMA Network that just don’t mix. This is the worst thing that could happen to US T-Mobile customers. This also means any new phones that T-Mobile has or getting will not work on this new Network. This just conpletely sucks all around. I will not stay, I will be leaving, 10+ years with T-Mobile and I am just sick to my stomach.

    • Matt

      I think John Legere and the T-Mobile management team will probably be in place. I don’t think we have to worry as a merger would probably be good for T-Mo

      • Mirad77

        Given the fact that you are in the closed door meetings.

    • NYC33

      The old sprint network was ancient. The new base stations can operate gsm, cdma and LTE.

      • Willie D

        The new base stations can’t operate anything actually. My roommate is a Sprint customer has traveled to NYC, Chicago, Los Angeles, Texas and Oakland, all fully deployed network Vision areas and gets worse service today, more dropped calls, less coverage, worse speeds than she did 3 years ago before LTE rolled out. So no, the new base stations don’t support anything other than a plan of embezzlement of funds from customers.

      • mikey

        Nobody wants cdma anymore. If you pay attention to the labels on phone boxes your will notice cricket is switching to gsm also and they have a warning label saying current phones they are selling will not work in the near future once their switch is complete

        • Jarobusa

          CDMA is only used until LTE is fully deployed. Look for CDMA to fade away. Just like they did for iDen.

    • fsured

      Sprint was very vocal about ATT not buying T-Mobile. I think it would be fair for ATT to come out against this merger in the same way. Push that clause the FCC put in place that future pending transactions/purchases gives them the option to change the spectrum auction rules. It’s Sprints turn to that heat.

  • fsured

    I have never been a customer of a company that was bought by another and kept the same perks. Eventually the programs or perks get phased out. This occurred when WAMU was bought by Chase. Their free checking account went a way, started charging higher fee’s like $5 for a money order, all while sending out letters to customers that things won’t change. I forgot what bank it was, but I had free access to my credit report and score as a perk of the card. The bank sold their credit division to Citi and after a few months that perk went away and I was offered to pay into their credit monitoring product that offered credit scores. Look at what is happening now with American Airlines and USAir with the frequent flier program. It’s changed and the average customer is getting shafted.

    Nothing with the T-Mobile we like today will remain beyond a year if a purchase goes through. They will sweet talk the regulators, shareholders, and customers by tossing us a bone saying things will be the same and nothing will change. It is when this information comes out and the changes start happening that I will make the decision to either keep my lines with the new company or switch to ATT. I like my phone enough to keep it, the freedom to swap sims and use other companies if needed, and know that with ATT I won’t have to wait years to use a reliable network just about anywhere.

    • thepanttherlady

      Well said.

      • David

        That’s what I did when AT&T wanted to buy T-Mobile. I knew if it goes trough everything I like about T-Mobile will go away.
        At the end I did switch to AT&T before they cancel merger because I wanted a high end Windows Phone and tired of waiting for T-Mobile so maybe, maybe they finally offer a phone that worth having and it is not some plastic cheap looking phone with buggy OS.
        Anyway I switched to get Lumia 900 on AT&T after being with T-Mobile for 10 years. Now I have Nokia Lumia 1020 and love my phone and during these last 2.5 years I have to say so far I am happy I did (I get a better service than recent T-Mobile service).
        But when I heard the news today I felt really sad and decided to come here after long time. I do hate Sprint and they crappy services. Even tough I am not with T-Mobile anymore but this is sad news and I am afraid anything good left from T-Mobile will go away after this merge.

      • macman37

        Do you, Cam, Dave, etc. have any idea to where we can place our opposing views on this acquisition/merger like we did when AT&T tried this?

        • thepanttherlady

          I don’t but someone mentioned starting a petition on change.org. The last time I went there I found one petition but it honestly wasn’t well written with substance on why we’re so against it. Would love for someone to start one so we can get it distributed and get those signatures!

    • Mirad77

      Agree with you here. The deal goes through I’ll become a new att customer ( as much as I hate them, but hate sprint even more) asap.

      • maximus1901

        Cricket wireless. Att network with the TMO price + a little.

        • Mirad77

          Even better. Thanks.

  • macman37

    Another “Rope-A-Dope” strategic maneuver to get more money and spectrum played by Deutsche Telekom & T-Mobile USA – just like how they stuck it to AT&T (those snakes)!! Pray to God that it gives T-Mobile USA’s subscribers similar or better results!!

    • fsured

      Problem is the fee if the deal doesn’t go through is it won’t be anything near what AT&T paid. There has also been no information of spectrum being part of the break up deal.

      Those who are new here and weren’t around when AT&T made their attempt, DT took the money to pay debt in Europe. They left T-Mobile with the spectrum and the company had to find it’s own way to finance things for the HSPA+ roll out and refarm. DT may have given some of the money to T-Mobile but the lion share they took.

      I think a few weeks back it was reported that the monetary value to a break up fee would be in the 1 or 2 billion range. I think the AT&T fee was 4 to 6 billion. Far less.

      • Willie D

        AT&T paid $4 billion cash, AWS licenses worth $3 billion and a 7 year 3G roaming agreement with a few billion.

        • fsured

          Yep but the cash didn’t go to T-Mobile. It went to DT. Thats what I want people to remember or be informed of if they weren’t around originally. So people thinking T-Mobile would get to keep any cash out of this deal if it fails, could be let down. DT would probably keep the cash since they can’t use American spectrum in Europe.

      • macman37

        You bring up some great points to consider; and I just hope that with Deutsche Telekom allowing Sprint to acquire T-Mobile USA that the FCC doesn’t remove the restrictions that they had placed upon Verizon & AT&T. Someone commented a few weeks ago that if Sprint and T-Mobile USA attempts to merge that the FCC may remove some or all of the restrictions that they had placed on Verizon and AT&T for the 600 Mhz auction. Very risky maneuver by T-Mobile since they need a lot more of low frequency spectrum to expand their coverage.

  • vinnyjr

    All the hard work and success that John Legere and T-Mobile USA has accomplished over this past year and a half will come to a craqshing hault because of this new development. Not many new customers are going to want to jump into a Carrier that the future is up in the air. This is the dumbest news T-Mobile could have let out. They just shot themselves in the ass. I am just shocked that T-Mobile with all their growth just flushed it all away with this dumb ass development. T-Mobile DT just killed the future growth of their US company. Maybe it was done on purpose to push the sale and convince or change the minds of stockholders that were on the fence. Who Knows, I’m disgusted.

    • UMA_Fan

      If Tmobile US remains in control then there’s nothing to worry about. In fact its likely to be structured that way to cater to regulators over any other reason.

      • philyew

        I wish I could share your confidence, but Braxton Carter’s comments the other day about aiming to achieve a 50% margin tell me that, ultimately, Uncarrier will be trashed and the newco will start behaving exactly the same way that AT&T and Verizon behave at the moment.

        It is simply not true that economies of scale will allow the newco to achieve a 50% margin while still maintaining the Uncarrier positioning. Why not? Because Verizon’s ARPU, which significantly supports their higher margins (52% EBITDA margin at the last count), is around 14% higher than TM’s.

        It is inconceivable that a company making a 50%+ margin can do so without soaking their customers, and a three-company concentration of the market will assist them in maintaining that abuse.

        • xmiro

          the comment by Braxton Carter should be included by those of us who comment to the DOJ opposing the merger

        • And such margins, boys and girls, is why cellular service is two to three times as expensive stateside than in Europe and the US rank at the bottom in speed, better only than the Philippines (v. http://www.cannongroupinc{dot}com/?p=4358 ).

        • maximus1901

          Could be the fact that all of Europe could fit inside America. Imagine if groups of 2-4 states had 3-4 carriers.

        • More competition?

    • xmiro

      this news is a rumor, and the transaction is not done yet.

  • guidomus_maximus

    Read the Reuter’s Article:

    That is because T-Mobile is likely to be the surviving brand and its CEO, John Legere, is likely to lead the new combined company

    • Paul

      Certainly hope that is the plan.

  • xmiro

    From Reuters: “The sources said no decision was imminent.” So DT execs have not decided whether to accept the offer, yet.

    Another thing not to forget is the fact that a merged company will have more spectrum than AT&T or Verizon, and the potential regulatory hurdles that might entail in addition to eliminating a 4th wireless competitor.

    We might end up with two brands sharing the same network by the time all is said and done

    • The spectra do not overlap, so it helps little for the customer and makes maintaining and expanding the network more expensive.

      • Willie D

        You really don’t know much do you? Both Sprint and T-Mobile heavily invested in metro areas, majority of their networks cover the same ground. In fact, Sprint has an advantage outside cities in that it covers freeways in the middle of nowhere where as TMobile may not..however 90% of their networks directly overlap. The spectrum is extremely complementary as both operate 1900Mhz (PCS) as a main band, onehas majority of its LTE and 3G on it (Sprint) and the other has shifted majority of its 3G to it and increasing LTE service on it (TMobile) this in fact compliments each other perfectly.

        • TMO uses currently PCS and AWS, whereas S uses PCS, SMR, CLR and BRS. The only overlap is PCS. Therefore, 1 out of 4 is barely any overlap to make for a synergistic use of spectrum. Rather, it just makes phones and tower equipment more expensive with no direct benefit to customers.

        • philyew

          How might carrier aggregation play into that though?

        • Carrier aggregation can be done best between neighboring bands without interruption in the spectrum. That’s what TMO did in Dallas after it acquired another carrier and merged two neighboring spectra into the same 20MHz stretch.

        • maximus1901

          Don’t know anything.
          There’s intra and inter carrier aggregation. What TMO did in Dallas was simply have a wider channel by taking metros spectrum and merging it with their own. There’s no aggregation.

        • philyew

          I think there’s a lot more possible than that. I read over at FierceWireless and Gigaom about VZW and AT&T plans to aggregate 700MHz and AWS. The following is a quote from Verizon’s own site:

          “Carrier aggregation allows a wireless provider to operate two spectrum bands as one so that smartphones, tablets and other devices can take advantage of airwaves on either band at the same time. By combining the spectrum of Verizon Wireless’ 700 MHz and AWS bands as well as any future spectrum as one asset, carrier aggregation increases the network’s ability to provide consistent performance along with increased capacity.”

        • Read the statement carefully: “either band at the same time”. It does not say “both bands at the same time”. What they mean by that is what Sprint did with its Spark: the devices are capable of getting LTE on multiple bands, but not at the same time. That would require a lot of power from the device. Rather, the device will use the band with the best signal.

          VZW is deploying LTE on both SMH and AWS. TMO, on the other hand, only on AWS. Though it could deploy LTE on PCS as well, the problem is that it doesn’t help, as both are in very high frequencies, so it’s likely that conditions will weaken both signals similarly.

          That’s why the SMH spectrum that TMO acquired from VZW is vital. It’ll be able to offer LTE in quite distinct frequencies and thus provide more consistent performance.

        • philyew

          But the issue isn’t whether they provide simultaneous use to increase throughput, but whether they are aggregating non-contiguous bands.

          You replied to me “Carrier aggregation can be done only between neighboring bands without interruption in the spectrum”, but this states clearly that Verizon are to do carrier aggregation between 700 MHz and AWS, which are clearly not “neighboring bands”.

        • No carrier currently has phones operating with two radios at the same time. The term aggregation is being abused.

        • philyew

          I didn’t actually say that they were doing it now. I interpreted that it is in their plan – “are to do”, not “doing”.

          Why do you make this so hard, Augustine? LOL!

        • Roger Sales

          because you’re wrong and you shouldn’t say things you can’t ascertain are fact?

        • philyew

          You know for a fact that I am wrong? Every day we connect various pieces of information from multiple sources, evaluate them and reach conclusions. It’s deductive reasoning and people do it without even realizing.

          In this case, I took a direct quote about carrier aggregation from Verizon’s own site and connected it with numerous reports from reasonably authoritative sources, like Fierce Wireless and Gigaom among many, which stated that Verizon and AT&T intended to implement carrier aggregation between the 700MHz and AWS bands.

          It therefore was and remains reasonable to conclude that what Augustine said on the subject wasn’t entirely correct.

          What more authoritative sources do you have to correct me?

        • You were onto something. 3GPP did define aggregation of different carriers in disparate frequencies in addition to neighboring ones, though the effective bandwidth is not as wide as when neighboring channels are joined together, as part of LTE-Advanced (v. bit{dot}ly/1hjC7Q4 ).

        • Willie D

          Carrier aggregation can jump spectrum bands now.. Just saying.

        • Jarobusa

          This is the wave of the future. Very difficult to have say contiguous 100 Mhz. There will be many smaller bands being aggregated into one block.

        • Willie D

          CLR? You mean EBS spectrum? Not BRS either.. And its ESMR not SMR….

        • Roger Sales

          CLR/SMR are parts of the same thing, which is the 800/850 frequency.

      • Jay Holm

        “spectra”? Do you mean spectrum?

        • philyew

          Plural…

      • Jarobusa

        They do share 1900 MHz (PCS)

        • It’s complicated. The PCS band is subdivided into 7 blocks. They frequencies for each block is in this order: ADBEFCG. S and TMO own many licenses for the wide A and B blocks, but both have sparse licenses for the other narrow blocks. S owns the licenses for the narrow G block nationwide and other carriers have the licenses to the narrow C, D, E, F blocks. This means that if S and TMO merge, their blocks will still be separated by narrow bands owned by other carriers. In some place they might merge their licenses, but only where one has one for a wide block and the other, for a narrow one. Thus, overall, they’d share the PCS band, but still be separated.

  • Nearmsp

    I hedged my bets by buying T-mobile stock a while back. I still think even though political hacks sit on the FCC (aka “commissioners”) have rubber stamped pretty much what ever their political masters on the hill have told them to do, it would be bridge too far for these industry pimps to certify that a merger would make the wireless market more competitive. I personally am going to do a heavy canvassing if this news is true. Though, seeing the stock market action, hot money is not on this deal at this stage. Yesterday WSJ had an article on this topic about how Son wanted T-mobile so he could provide internet competition to Comcast. The guy is a nut. He made a bad deal for softbank by buying a lemon and now wants to buy T-mobile to make good its investment. Legere is being offered a leg by being promised CEO of the combination. With elections this year, this is a bridge too far for Softbank.

    • TechHog

      The number of metaphors in this confused me.

    • mikey

      Now could be a good time to buy sprint. As rumors continue sprint stock will raise in value since it could do good for them but tmobile will drop since most likely it will suck for us. The debt and losses sprint is suffering combined with the costs to merge the two networks and the price of the buyout will mean longer for more LTE rollouts and higher prices.

    • KingCobra

      I agree. He probably wishes he would’ve bought T-Mobile first now. With how poorly Sprint has been performing, he might have been able to argue that he needed to buy them or else they would go out of business.

      • Which says more about him than about S. How come an international entrepreneur ends up acquiring a lame duck? Did he do his homework properly? All that he had to do was to ask any American on the street to figure out that S had no future.

        • Kyle

          S does have a future though. And Son has been proving that with what he has done. I don’t even live in the US and know this.

        • izick

          The problem with your logic here is that the same thing would have been said about T-Mobile prior to the Legere era.

        • Roger Sales

          He probably saw it as a matter of scale. T-Mobile only had 34 million customers, Sprint had 55-56. He thought he was getting the company that had less issues.

    • kyle

      Son s a genius. Look at what he has done in Japan and Asia.

  • Winski

    The only way this happens is :

    1) Legere is overall CEO – Hasse gets dismissed.

    2) Sprint’s CDMA network gets TURNED OFF.. It’s a piece of junk. All cells get converted to GSM.

    3) ALL future marketing programs are developed by Legere’s team…..

    4) Son goes away as an active part of the merged companies..

    • Jarobusa

      CDMA is going to be turned off once LTE is fully deployed (may take a few years for legacy support). Just as Sprint did for iDen.

      • Given that S has now thrice more customers on CDMA than Nextel on iDEN. And it took 8 years to shut down iDEN…

        • Kyle

          Well Sprint is being ran by Softbank now who has deep pockets. It won’t take that long to shut down CDMA. If Son said tomorrow he wanted CDMA shut down by 31 December 2015. It would be done. And Son would make sure of it.

        • Son is human, right? I doubt that 50 million of S customers would take it lightly that they’d have to get new phones and not jump ship.

        • Kyle

          Depends on how it is handled. Maybe give everyone a free upgrade that would need a new phone. But the fact is what I said was true.

      • AK

        CDMA is going to be eventually turned off just like GSM/UMTS/HSPA will
        eventually be shut down, and not just by Sprint and T-Mobile but also by
        AT&T, Verizon and everyone else. Once 5G is out, 2G/3G
        networks will be phased out. Softbank has to decide the best path forward whether it is to continue running the 2 types of older networks until both are shutdown or start decommissioning one sooner.

      • Roger Sales

        And that all went so well for them…..oh wait.

    • Bilesha Welton

      Only way this happens is if we let it. We came together to fight the AT&T merger and we can do it again!

      • Kyle

        First off all you didn’t fight the AT&T merger. Stop trying to rewrite history. And this is different than AT&T to begin with. You see to confuse Sprint of 5 years ago with the now Sofbank Sprint. It is a completely different company. This deal would be good for a wireless industry as and good for us T-Mobile customers and Sprint customers. Research is your friend.

        • KingCobra

          How so? Who is to say that once Son has T-Mobile he won’t just raise prices up to AT&T/VZW levels in order to get back to those 50% profit margins? Or are we just supposed to all believe he’ll keep low prices out of the goodness of his heart?

          He hasn’t exactly made Sprint into a competitor yet. Perhaps he should focus on what he already owns first.

        • Kyle

          Well let’s see let’s look at Son’s history.. He has a history of merging companies and lowering prices. You see forget the size of what the customer base would be of the combined company. Meaning more profits. And by lowering prices bringing more in. Son has promised a even bigger price war.

        • KingCobra

          So why hasn’t he initiated one yet with Sprint?

        • Kyle

          He has. If this merger goes through you will see the lowest prices around and the fastest speeds around.

        • KingCobra

          He hasn’t. They’re losing money and customers and their prices are actually close to AT&T/VZW. Hell their ARPU is even higher than AT&T. Based on what he’s done with Sprint so far here in the US, I’m not inclined to take a chance on his “promises” and I’d venture to say most consumers aren’t either.

        • Kyle

          He has. Yeah they are losing money but as much money as T-Mobile is long. The prices are lower than AT&T and Verizon. Especially the new off contract plans. They may have a stupid name but that they are cheap.

        • philyew

          How does he guarantee that he will carry the promise through?

          Scaling up TM/Sprint to close to the size of Verizon and AT&T will still only generate income to the extent of Volume * ARPU. As long as Verizon and AT&T’s ARPU is significantly greater than that of the newco, their margin is likely also to be significantly higher – unless you can prove that there is significant operational inefficiency in either AT&T or Verizon at this time.

          Since Verizon’s margin is around 52% and TM’s 5-year guidance maxes out at around 34-36%, it can reasonably be assumed that the only way they get to the 50% margin is by increasing ARPU. In other words, taking more money from each customer every month.

        • Kyle

          Do some research.

        • philyew

          Really?

        • Kyle

          Yes. I hate stupid Americans like yourself.

        • philyew

          That’s obvious, but you don’t know the first thing about any of us. You have, however, been warned by the moderator to curb your abuse, so I’ll leave you to enjoy the time out step, as I’m sure you’ll be headed there shortly…

        • thepanttherlady

          Beat you to it. :)

        • philyew

          LOL!

        • myremarq

          look like i have been ban as well my discussion post are not here at tmo sorry..

        • thepanttherlady

          If you were banned, you wouldn’t be able to post.

          Is this comment from the same email and IP address as the others? Let me know and I’ll look to see if they were somehow flagged by Disqus.

        • Roger Sales

          The other problem with Son’s whole “i’m the good guy in Japan” theory is that A) their pricing isn’t as affordable and cheap as he claims it is, and he is actually the owner of the #2 telecom in Japan subscribers if you account for Softbanks ownership of the tinier #4 and #5 carriers. almost 43m customers to KDDI Au’s 38m.)

  • JBrowne1012

    Screw this if DT wants out thats ok but don’t sell us to the competition that has proved that it cant manage an effing network

    • Kyle

      Softbank has managed Sprint just fine in its not even 1 year of ownership.

      • xmiro

        right, can’t execute on strategy to save their lives. Apparently :)

        Neville Ray will be running the merged network you can be sure of that :)

        • Kyle

          You are confusing Sprint managment of the past before the Softbank take over. Look at what Softbank has done for the company since the take over. You will be shocked. Anyone who isn’t a blind bias loyalist to one company can see that.

        • vrm

          does sprint/softbank pay less than minimum wage to shills here ?

        • Kyle

          Pathetic response. Typical stupid American.

        • AK

          Sprint had Network Vision rolling out long before Softbank came into the picture. I think most people are too quick to give credit to Softbank for improving Sprint’s network, it was already happening. Softbank is having an impact on Sprint. Aside from the financial benefits, it is changing the corporate culture. I believe Softbank was directly responsible for the Framily campaign.

        • Justin Merithew

          Are you going by Kyle now, Masa Son?

      • Bilesha Welton

        Just fine?? Please tell me you’re joking.

        • Kyle

          They have been. Look into. Softbank took control over Sprint late last year and has managed to turn several things around. Improve it’s old 3G network greatly. Improve Voice. Roll out LTE to more markets and improve speeds. Begin a roll of Spark. Brought new sets of off contract plans to Sprint. Anyone who isn’t biased can see that. Everyone in the tech media is talking about the big improvements Softbank has made to Sprint. How about you stop being biased and you do some research.

        • Bilesha Welton

          Aww but I love my pretty magenta kool-aid :(

        • Kyle

          Figures. Americans have such low IQs. They don’t care about facts. I pity you Americans.

        • Bilesha Welton

          Actually I’m an expat from Britain. And perhaps I should have given that comment the bloody /s treatment so you knew I was joking ;)

        • Kyle

          Yeah I like I believe that. Your grammar is way to bad to be a Brit. And you weren’t joking. You were being serious. You only say you were joking because you were called out.

        • philyew

          “Your grammar is way to bad to be a Brit.”….which I guess confirms that you are not a Brit either…;-) *Just kidding*

        • Bilesha Welton

          It sounds to me like you’re bias. I really don’t care what you believe. I know where I was born. And I’m sorry but how can you not take “pretty magenta kool-aid” as a joke??

        • Kyle

          I’m sorry that you feel ashamed about being a stupid American that you have to lie about it.

        • thepanttherlady

          Enough.

        • Bilesha Welton

          Apologies. I’ll shut up.

        • Kyle

          Stupid Americans love to shut down debate.

        • Bilesha Welton

          “you feel SO ashamed” ….fixed it for you. ;)

        • Shane

          You’re way out of line, and making yourself look ridiculous at the same time. How are you going to diss someone on their grammar when you can’t even type one sentence correctly?

          “Yeah I like I”
          “..to bad to be”

          Not only do you do yourself a huge disservice, but you shame your own country by attacking another.

          I don’t even read this site, but clicked a link for news. I just felt compelled to reply because of how ridiculous you are.

          Grow up.

        • thepanttherlady

          Thank you for stopping by, Shane. Debate is welcome as is difference of opinion. What is not welcome is someone being a douchebag which this poster was. He’s now gone. :)

        • Alex

          Then if they need to research more I would suggest you do as well. Is SoftBank trying to make changes? Yes. But, Sprint started rolling out their current LTE technology in the Chicago area back in 2012. April if you want to know the month. This was well more than a year when SoftBank took than reigns. Also, SoftBank took over in July of 2013 which last I knew wasn’t the end of the year but, I digress. They also have lost more customers than any other carrier do to the terrible coverage they are having with their new LTE. Customers that had no issues inside their residence now have issues with coverage and signal strength along with dropped calls. Just ask anyone in Texas, Louisiana, Georgia, North Carolina, and Florida just to name a few.

    • Jay J. Blanco

      DT is going to hold a minority share in the company

    • Jay J. Blanco

      DT is going to be minority share holder their not completely exiting

  • KingCobra

    Immediate Beneficiaries of this proposed merger:
    DT – Will receive a massive payday from Softbank
    Softbank – Eliminates a dangerous competitor, immediately becomes almost as large as AT&T/VZW
    AT&T/VZW – Annoying competitor in T-Mobile is eliminated, will receive divested spectrum from the combined Sprint/TMO. Will no longer face 600 mhz auction restrictions and can freely buy up the majority of that spectrum

    Longterm beneficiaries of the merger
    Softbank – Can raise prices back to near AT&T/VZW levels due to no alternative low cost carrier in the market
    AT&T/VZW – Continue their duopoly on low band spectrum and no longer have to be concerned with the price war initiated by T-Mobile. Back to 50% margins.

    Losers of the merger:
    US consumers – no alternative low price major carrier in the marketplace. 3 company marketplace will shape up to be just as “competitive” as the Canadian wireless industry. Get your wallets ready if this goes through.

    • Kyle

      Your facts and predictions are wrong.

      • HeatFan786

        Actually, he brings up valid points. M&As just reduces competition and centralizes wealth within less companies. Lawyers also profit because they have more work w/ acting as bargaining power for both sides. The fact that you didn’t offer anything to support your notion shows that you’re not as familiar with the subject.

    • What consumers will get is a triopoly. Grand! Not.

      • Kyle

        Better than the Duopoly with 2 smaller carriers who can’t compete with the big boys like we have now.

    • xmiro

      actually we might end up with a 4th carrier if spectrum is divested, Dish perhaps who just finished buying PCS spectrum and who might be in the running for this year wireless auctions, and who already own 40Mhz of AWS-4

  • steveb944

    Wow this came through quicker than I expected. Here we go AGAIN.

  • James

    Thepanttherlady is homophobic. Why do you have a homophobe as a mod? She is nothing more than a bully.

    • thepanttherlady

      Nice try, Kyle. :)

      ETA: My job is to maintain peace on this forum. When you distract from the topic at hand by trying to insult people with “stupid American” etc. you are the bully.

      • philyew

        Well said.

        The joke is that at least one person he insulted that way definitely is NOT an American….

        • Cam Bunton

          Shocking.. Only Americans should be allowed on these forums. ;-)

        • macman37

          Any news on which URL we can put our opposing views of why this merger/acquisition should be blocked by both the DoJ & FCC like we did when AT&T tried this a few years ago?

    • just me

      I lol’d.

      > I hate stupid Americans
      > I don’t even live in America but I know their industries and infrastructure the best
      > You’re all stupid Americans
      > In case I didn’t mention it, Americans are stupid
      > OMG Y U BAN ME HOMOPHOBE

      Thanks for the laugh, buddy

      • It sounds like somebody has Amerophobia! :p

    • PapaSmurf

      There is nothing wrong on having a certain phobia.

      • thepanttherlady

        The only phobia this woman has is of heights. :) Actually, that’s :(

  • izick

    I think that people on here are discounting M. Son as a CEO/owner. Any new ownership/management takes on years of contracts and past mistakes that cannot be fixed in a matter of months. Sprint’s network isn’t even built/managed in-house, but it is contracted to a third party, making it more difficult to control what has already been set into motion. Any new major ownership/management takes at least 2-4 years to see the full benefits of new management. Framily is potentially a HUGE cost savings vs. any other carrier out there ($45/month for unlimited TT&D, yearly upgrades, on a no contract/no etf plan. Even at it’s highest cost for unlimited TT&D for a single person, it costs $5 less than T-Mobile’s $80 unlimited plan.*) AND it brings more customers on to the network. (Attempting to cut cost for consumer and grow user base.) How could this be bad?

    A new owner like Softbank coming into TMUS (along side of DT) which has a lot more flexibility in build and upgrade compared to Sprint could be very advantageous for coverage/network upgrade and therefore growth. This is especially true in a buyer who is specifically interested in shaking up the US market paired with a CEO who is interested in shaking up the US market (Dan Hesse already said he’s not all that interested in running any new company and is looking forward to retirement). According to Son, the US wireless industry (in terms of technology) is on-par with or slightly above that of second world countries, and he wants to change that.

    Disclaimer: I’m both a former Sprint customer and a former T-Mobile customer. I left T-Mobile for coverage/roaming issues, and I left Sprint before that for speed issues. If T-Mobile offered unlimited (or an increased allotment of) domestic data roaming and continues to cover up some of the 2G gaps, I’d be happy to come back (thus the reason I follow this site so closely). I’d also be happy to return to Sprint if their LTE coverage grows immensely and more quickly and their Network Vision 3G fallback offers an experience consistently above 1 Mbps. I have a Nexus 5, so the choice is mine.

    *For the average consumer.

    • Alex

      Actually if you knew the information for the Framily plan on Sprint versus Tmobile with the same Tmobile is cheaper and better. Let me explain it all so everyone understands. Sprint Framily is unlimited talk, unlimited text and unlimited data that is throttled after 4.5 gb of use. This is $55 a month for the talk and text and 1Gb of data with the add on of $20 for unlimited data. If you opt for ANY data less than unlimited you pay an extra $15 a month if you upgraded after 1/10/2014 on the Framily plan. You also pay overages for any data amount less than the unlimited data amount. So, that is $75 a month with upgrade every year and Installment Billing for the phone. Sprint has insurance for a Samsung Galaxy S5 at a whopping $11 a month with a $200 deductible and if you want the lookout app it’s $13 a month. Now, T-mobile has unlimited talk, unlimited text and 5Gb of unlimited high speed data before throttled for $70 a month. They have the jump program that costs $10 a month that includes lookout app, upgrades whenever you want after you pay half the price of phone and the deductible is $175. And if that doesn’t tell you who truly is cheaper, T-mobile includes Free texting and calls to 120 international countries. T-mobile also has no overages for less data plans. Sprint to text and call same countries it’s $15 a month. Their list is only 60 countries. Let me know if you want any other explanations on cost. We will not even discuss the track record of Sprint dropping the ball.

      • Laststop311

        i guarantee nobody is following that

      • Chad Dalton

        Nicely said…facts plain as day!

      • izick

        I’ll get to it here in a bit. I’m at work.

      • drtish

        Go back to work in the sprint store. Also the name ‘Framily’ sucks!

    • Roger Sales

      Framily is more expensive because overages are tied to that 1GB plan – not everyone needs unlimited. On Simple Choice no matter what tier you fit into, the end result on your bill remains the same no matter how you end up using the phone over that month.

  • If this happens, I’ll only stick around if the prices and services stay competitive and they don’t make people switch to CDMA. If the costs and services change to match Verizon and AT&T, then I’ll switch to AT&T. I would rather join the original duopoly and see the new merged company fail than to have a third major carrier that jumps onto the price fixing bandwagon and succeed. That would force governing bodies to split up the big guys again to bring back competition. Paying more for less is not in the best interest of the consumers.

  • HeatFan786

    Sprint will cause a clusterf***k because their lousy service dilutes products.

  • james

    Nonono sprint t mobile is way better sprints customer service horrible

  • james

    Nonononononono

  • Regulator

    Been in wireless for many years and chances are IF this goes through (probably won’t) sprint will migrate their base over to T-Mobile. Two main reasons are T-Mo has a better name right now and a much better network that is GSM which has more potential than CDMA long term.

    • RLB63

      My guess is that TMO structure still survive, especially since the CEO of TMO has pushed that he stay in charge. I also see TMO phones staying because NOT using SIM cards is a consumer pain point that I don’t see him allowing. However, I see the Sprint name surviving for a few reasons.
      One to differentiate themselves from TMO in Europe.
      Two they have a MAJOR investment in NASCAR. I don’t think the contract zipped them to change the name nascar uses again. Plus the Sprint cup sounds much better from a racing perspective than the T-Mobile cup. For those that don’t know NASCAR is a major sport if you like it or not, and a major coop to be affiliated with
      Third, if TMO management tasks over and plans change to TMO type plans it would be a small way to keep current Sprint customers somewhat comfortable. There would be a lot of Sprint customers unhappy with a major shakeup as it is. They will want to limit customer churn as much as possible.

      • Jabbathewocket

        I doubt the Sprint name will survive.. they are bleeding subscribers like crazy.. and have the worst network by far in America.. a merger and rebranding would likely HELP them keep sprint users rather than have them continue to defect in droves..

        Keep in mind that they can do away with sprint, force all post paid users onto tmobile type devices and just use the sprint network and parts of metro PCS bands for prepaid and tmobile bands for post paid in the short term

  • JBrowne1012

    Man I do not want to see T-mobile go, what the hell is DT thinking in relation to these moves anyways they have just recently started turning a profit again, this is not a smart move even if t-mobile is confident they’ll come out on top again. This move will effectively slow down new subscriptions and more people might even leave. Nobody wants an unstable carrier!

  • Todd_the_Hunn

    Gees . This would be so much worse than the AT&T merger . The networks aren’t compatible . This is basically the Sprint – Nextel merger all over again . LOL only over 50k jobs were lost and Sprint has been a financial mess since . If this merger was approved there really would be no need for the FCC to exist . This is a hail mary play by Softbank who has been bleeding since they over paid for Sprint . When Son is saying he loves America what he is really saying is he loves our corporate welfare system .

    • Jabbathewocket

      As I said above.. this is not quite the same as Sprint Nextel.. there are 2 distinct groups here both of which are largely on the same bands.. IE Virgin/Boost/MetroPCS are on the same bands in the US (other than the few areas of Metro that are using Tmobile network atm) leaving basically just the Sprint Postpaid users and Tmobile users to merge..

      Given that the Sprint Postpaid customers are the smallest group, and are on the legacy dead end handsets (even without the merger this group needs new handsets going forward due to the mess that is the sprint post paid network after wimax fiasco) most of the sprint users will need new handsets going forward as they build out network anyhow.. its not hard to picture a short term world where Sprint users are pushed over to t-mobile network and handsets while the network is refarmed for the future.

      In addition its been common knowledge that DT has been looking for a buyer for Tmobile for ages, the big question is will the FCC allow sprint and tmo to merge or not.. they have said repeatedly they want 4 carriers in the US.. and even when DT told them that without merger they would likely be forced to wind down operations of Tmobile.. the FCC didn’t budge on approval of merger.. it will be interesting to see if they look more favorably on T-Mobile/Sprint than they did on ATT/Sprint

    • xmiro

      the CDMA network will be turned off in a few years anyway

  • Cam Fas

    They just won’t go away less competition equils higher prices remember all the good that happened when the AT&T merger fell thru AT&T and Verizon sprint included had to offer lower prices for more service because tmobile began to eat market share

  • jdubb2600

    I seriously don’t understand this move. they just purchased metro last year which helped move them to the number 3 spot. someone please help me understand this

    • Jabbathewocket

      there are several possible positive outcomes from this if it goes through, as well as lots of “unknowns”

      Positives:
      1) The combination of Metro with Virgin and Boost Mobile gives T-Mobile/Sprint/Softbank the 3 largest prepaid vendors in the US

      2) the combined companies are alot closer to Verizon and ATT in terms of US Subscribers which when combined with 1 above allows them to exert alot more pressure on the Big 2

      3) Lots more bandwidth nationwide (not so much short term but long term it would allow the new company to use the old sprint bandwidth for all 3 prepaid imprints, and allowing all the metro pcs spectrum to be used for postpaid.. the reason this makes sense is that while its unlikely that the new company could convince all of the prepaid users to switch to “tmobile compatible” handsets.. the bulk of exisiting metroPCS compatible devices are already on the same bands as Sprint/Boost/Virgin)

      Unknowns/Negatives

      1) Uncarrier and aggressive buildout.. will this continue or will Softbank force them to revert to old school model.. it would largely depend on who comes out on top in management going forward.. but even if Sprint management stays on board.. they where the first to play at changing the rules of the game (unlimited everything etc started at sprint)

      2) rebranding which names survive into the future.. Will the new company be Sprint or Tmobile or something else entirely? Do they Dare rebrand the entire company? the resurgence of T-Mobile lately means this is a very precarious time .. too much of a shakeup could revert much of the recent positive mindshare that T-Mobile is currently enjoying

      3) what will happen with bandwidth and current plans etc.. all up in the air long term.. though short term they probably would not be able to change very much

  • Big Bossman

    SprinT-Mobile

  • josephsinger

    It’s not a “done” deal by any means. It has to go through regulatory approval and that’s not a given either.

  • G-Wiz

    t-mobile is earning revenue but they are not turning a profit, they are still digging out of the hole from 3 years ago. Yes they have growth, we get that indeed, they need to stop the bleeding and selling the company is they way out of this profit sinking ship. Uncarrier is a great idea, but if you are not carrying cash profits to the bank who cares.

    • xmiro

      they aren’t turning a profit because they’re investing billions in the network. Amazon is barely turning profit too because they take the profit and re-invest it in the business

    • Singleweird

      all true but i think q3, 4 well see the higher revenue from growth without the huge aquisition costs and probably rake in some dough.

  • Eric

    Sigh. I am going to Verizon if this deal goes through. I will never again in my life have anything to do with those bastards at Sprint.

    Fortunately my phone is paid for, so no early termination fees.

    • Startswithaj

      I feel exactly the same way. Although I’ll probably go to AT&T. I hate Sprint.

  • Jorgen_Henreksen

    Will the combo platter of WTF that this likely to become, be called Sprint Mobile, or T-Sprint? Then again, they can always eliminate both company names and come up with some other name. Which of the two CEO’s (Sprint or T-Mobile) gets to run the combo or will they both Golden Parachute out and someone from Softbank get promoted to run the company? The whole thing could end up just being called, “Softbank Wireless”. If the combined company maintains unlimited everything plans, I’ll wait and see. This hasn’t successfully passed regulatory approval, much less been officially announced by either company, so we’ll have to wait and see.

  • james

    Nonono

  • james

    My mother in law. Has sprint after 9 you can’t get anyone there website stinks I hate this I love t mobile and hate sprint