Deutsche Telekom CEO says wireless merger talks likely to happen soon, T-Mobile US included

timhoettges

One day after SoftBank CEO Masayoshi Son expressed interested in getting Sprint-T-Mobile deal talks going, the CEO of T-Mo’s parent company has brought up mergers, too.

Deutsche Telekom CEO Tim Hoettges has said that it’s likely that wireless merger talks will soon begin and that T-Mobile US will be included in those talks. “It is not only permitted and possible, but now very likely that discussions will get under way concerning various potential strategic combinations of businesses in our industry,” Hoettges said. “That includes our company, T-Mobile US.”

Hoettges went on to say that there are “several advantages to consolidation and convergence.” Just because the DT CEO says that T-Mobile US may be included in upcoming merger talks doesn’t mean that a deal is imminent or will happen at all, though. “The strong position we have established for ourselves gives us the time and space to evaluate all options together with colleagues in the U.S.,” Hoettges said, adding that it’s “impossible” to say if any T-Mobile deal talks will succeed.

Companies that were participating in the FCC’s 600MHz spectrum auction were barred from talking about mergers, but now that the auction has come to an end, the quiet period has also ended. The combination of the end of that quiet period and the new president and FCC chairman is the reason that we’re starting to see wireless merger talks flare up again. Whether or not anything will actually come of these talks remains to be seen.

Sources: Bloomberg, Reuters

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  • Paul Garrison

    No thanks.

    • Acdc1a

      The price wars that T-Mobile started will end with wireless being an all you can eat commodity for a very low price. Look at the long distance wars of 20 years ago. Without either a merger to bring the national marketplace down to 3 contenders (terrible idea) or a combination into another type of business, wireless will be worthless in 10 years.

      • DannyMac

        I’m all for them merging with someone logical like Dish, but not with another telco.

  • Tm0wls

    I’m hoping for a better merger partner with this news, don’t be a douche-telekom Hottges,

  • aglee89

    The Dish merger with Amazon as partner sounds good, tmobiles leadership, tv package and free Amazon prime. Plus the extra spectrum from dish. A sprint merger though doesnt sound so great.

  • JBLmobileG1

    If Tmobile does merge with anyone I rather it be Dish Network than Sprint. And to be honest though… does Tmobile really even need to merger with anyone? They already did well with the recent auction… now to just utilize the spectrum. If they think Sprint is a good thing they are wrong as they would be more of a burden than anything. Basically taking on debt and having to switch the network over to one or the other because last I checked Sprint was CDMA. Overall I wish Tmobile would stay out of any mergers and just focus on what they have and build upon it.

    • DannyMac

      No, they don’t need to, there will be some benefits like extra spectrum and Sprint’s customer base, but they’ll take on Sprint’s debt. I guess they could make up for it with less competition, but competition is what keeps the big four interesting.

      I know I will rally against this if it were to seek regulatory approval.

    • Mike

      T-Mobile needs TV content ATT and Verizon does. Dish would be a great partnership but I wonder if egos would get involved.

  • TechGeek

    Anti-Sprint, Either leave it alone or Dish Network

  • Maverick_F14

    Great! Let The acquisition/ merger commence and with the Republicans running capital hill plus the Donald leading, it will get approved.

    Ps. All networks run on 4G LTE so cdma/gsm is trivial.

    *Scale will change the playing field and then an alliance ( agreement) with a cable company ie.. Dish etc will sweeten the deal.

    2017 is looking to be a game changer. Btw one thing is for certain in that legere will not be at the helm in fact he’ll wind up head of marketing or severance. Bye Bye!

    • Andrew Addison

      This merger is not going to happen. T-Mobile-MetroPCS Nation does not need to merge with anyone at all. They are for mobile wireless. I believe and know for a true fact that T-Mobile-MetroPCS will remain being as is. Even if the President of the United States of America country agrees for the merger to happen for T-Mobile-MetroPCS/Sprint, it just will not happen. John Legere is not going anywhere.

      • Allen Alberto Enriquez

        Cross my fingers your right.

        • Andrew Addison

          Yes we know we are correct on that part here Brother. Fingers are crossed and I still know and believe for a true fact that T-Mobile-MetroPCS Nation will remain as is.

        • Brandon

          I hope that Tmobile gobbles up all of Sprint’s and AT&T’s customers

        • Andrew Addison

          Yes I know right? But let’s be realistic here. Do you believe that Sprint/T-Mobile-MetroPCS will merge? I do not believe that T-Mobile-MetroPCS/Sprint will merge.

        • Brandon

          I honestly hope not. Sprint is tainted and toxic company

        • Andrew Addison

          Yes it really is so freaking toxic/depressing company to deal with.

        • Brandon

          But Tmobile is on the right path

        • Andrew Addison

          They sure are :)

    • SirStephenH

      “Ps. All networks run on 4G LTE so cdma/gsm is trivial.”

      The networks still operate GSM and CDMA for 2g and 3g.

  • Teaser38

    What’s Dish going to do with all its spectrum if this goes through?

    • Sharti24

      Hoard it then sell it for double what they paid

  • If a merger happens with Sprint, I am done with T-Mobile! I want no part of anything named Sprint with any of those azzwipes running the show…Hell no! NO thank you. NO interested. NO sale!

  • Andrew Addison

    I am going to be Honest here, the Sprint/T-Mobile-MetroPCS merger will not happen. T-Mobile-MetroPCS will remain being as is. No need to merge Sprint/T-Mobile-MetroPCS(For what??). Sprint will soon disappear or perhaps someone else will end up buying Sprint. T-Mobile-MetroPCS is here to stay. It is a fact. John Legere is not going no where at all. People can simply stop hoping for the Sprint/T-Mobile-MetroPCS merger to happen in the near future, it just wont happen period.

  • Chris

    Lets get something straight. Deutsche Telekom (DT) does not merge it devours.. They are only calling it a merger because DT is not a US company therfore they are not allowed to have “Full” control of a US based company. Thus they merge .. and the remaining percentage required to control the company’s are sold privately to aquire the US based Sprint and metro PCS.

    • Andrew Addison

      So all and all what you are telling us is that this merger will not happen. T-Mobile-MetroPCS Nation will remain as is, while Sprint goes right out of business somehow, Right? If so, then that is so cool to know about. I believe for a fact that Sprint/T-Mobile-MetroPCS won’t merge period.

      • Chris

        It will happen but Deutsche Telekom .. T-mobile will not change because T-mobile is Deutsche Telekom. But T-mobile was Voice Stream Wireless and a host of other GSM cell phone companies before the “merger”.. thus now history repeats itself in effort for Deutsche Telekom to expand its footprint in the US. So YES the merger WILL happen. Will those companies retan the same name under the merger?? Not likely.. Will the employees remain the same?? Most Likely.. Will the Policies remain the same .. No .. that will change over night. and the employees will know it when they get their welcome letter’s in German via system email..

        • Andrew Addison

          Okay so my other question to you is, Softbank is going to be selling all of Sprints assets right on over to Deutsche Telekom and once the aquisition goes through, is when all of Sprints policies will be changed right on into becoming T-Mobile-MetroPCS policies, retaining the Sprints branding? I hope I’m correct on that part there. This will leave John Legere as new CEO for the new Sprint branding. Yay.

        • Andrew Addison

          I hate to break it to you here Brother, but T-Mobile-MetroPCS/Sprint are not merging. It just won’t happen. I have faith that T-Mobile-MetroPCS Nation will remain being as is, while Sprint demolishes. Goodbye Sprint.

  • Al William

    Well, he didn’t specifically mentioned Sprint, so it could be Dish!

  • ronjon400

    If a merger did happen, does anyone here actually think they would call the company “sprint”? Bad namesake. T-Mobile would be the one gobbling up sprint because John Legere has the people on his side. And just have many of you have stated, we would all likely leave if the company was called “sprint”

    • Andrew Addison

      Nope. T-Mobile-MetroPCS branding will remain with the disappearance of Sprint going away forever and ever. I doubt that Sprint/T-Mobile-MetroPCS will merge though.

      • Sharti24

        Drewski, is that you?

        • Andrew Addison

          Yes it’s really me. Thanks for asking.

    • ‫אברהם סלומון‬‎

      Agree 100%, I did not want to think this for sometime but The Name Sprint is dead. TMobile and The C.E.O is what like want to keep. R.I.P Sprint

  • nosmohtac

    The best merger IMHO is T-Mobile, Dish, and Amazon. T-MOBILE would get to bundle sling tv, Dish would gain subscribers, and Amazon would get a network for drone delivery or any other wild ideas Bezos has.

    • Zach B.

      Amazon, like Google/Alphabet is too big already and might need the Ma Bell treatment (like many other corporations in America). People shouldn’t cheer for monopolies or corporate conglomerates’ especially in America where there’s next to no consumer protection/worthwhile industry regulations.

      • nosmohtac

        Agreed! I’m not cheering for it. AT&T and Verizon have already purchased media outlets. In order for T-Mobile to continue growth and be competitive against those giants, a merger is going to happen.

  • Ricky

    If for some reason T-Mobile does merge with sprint or buys out sprint i would like to see the name Nextel brought back.. Nextel had one of the best/biggest loyal customers until stupid ass sprint killed the name and successful business.

    • Alex Theodossis

      I so agree with you. I will literally cry to have the honor again to have Nextel they were the very very best.

      • Andrew Addison

        The nextel name is old news and played out. Implement walkie talkies on future devices, it’s the simple. No need for a separate branding for walkie talkie use.

        • Ricky

          im not talking just walkie-talkies i mean as a brand and name..Nextel sure the hell sounds way better than sprint tmobile or metropcs plus it would bring back a whole bunch of businesses and old loyal subs. and yeah they can even bring back walkie talkies to all phones with the prip app if they wanted to..

        • Andrew Addison

          Again my Friend Nextel is bad/old news. Implement walkie talkie technology on other devices. It’s that simple. No need to use a separate name. T-Mobile-MetroPCS is pretty good at implementing stuff. Face facts my Friend. Since you are mentioning Nextel, you are most definately talking about Walkie Talkies there Friend.

    • Andrew Addison

      The Nextel deal was a played out deal to me. I dislike having to use a different brand for capability use. Just simply implement walkie talkies on future devices, it’s that simple.

  • Ross Stuart

    Dish is the best choice, not for any content deals per se, but for their massive treasure trove of spectrum. They are the other massive acquirer of 600 Mhz spectrum during the auction and have stores of other spectrum.

    Merely having all that spectrum would give T-Mobile a gigantic coverage advantage over Dumb and Dumber. In fact, with Verizon buying Straight Path things are not looking good for AT&T. I see the latter being the one to acquire Sprint in order to compete on available spectrum.

    Regardless as to what happens, I see T-Mobile surpassing AT&T soon. The Death Star is boring and mediocre. Verizon is the only one other than T-Mobile that conveys any sense of style and charisma, even if it is tainted with gross arrogance.

    T-Mobile doesn’t need more spectrum to win, but it would make their momentum even more ridiculous.

    • TylerCameron

      Sprint thought the same thing. “Merely having all that spectrum would give T-Mobile a gigantic coverage advantage over Dumb and Dumber.”
      Remember WiMAX; “the nation’s first and only 4G network”
      Remember “Network Vision”?
      Remember Sprint “Spark”?
      And now they’ve got “LTE Plus” (“Our network only sucks 1% more than the other guys”)

      All of these massive failures of network engineering have been backed by the fact that Sprint has A LOT of spectrum. And they do have massive stockpiles of spectrum. 800/1900/2100/2500. Most of their spectrum is useless 2.5GHz bands tho.

      I’m guessing most of Dish’s spectrum is high band spectrum, which is pretty useless on the ground.

      • Andrew Addison

        But Dishes high band spectrum is useful for Capacity/High Speed purposes though.

      • Ross Stuart

        Dish just bought a whole bunch of the 600 mhz that T-Mobile bought, so not quite.

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  • humpfh

    If DT wants out of the US market *so bad*, why the hell don’t they just sell their shares of T-Mo to the public? T-Mo doesn’t need them, and they don’t want T-Mo. And other than T-Mo/DT buying Sprint (which I don’t see to be likely), anything else (involving Sprint) would be a disaster.

  • Chris

    Everyone is missing the point.. or Reason … That DT is taking sprint.
    1. The largest Network in the US is through Verizon.
    2. Sprint piggybacks on Verizon … because its CDMA.
    3. The largest retail chain in the world Wal-Mart offers their cell service through T-Mobile.
    …..
    Lady’s and Gentlemen..
    T-mobile will be the next US Celluar giant after this merger..
    Those that are saying Sprint is gone.. YOU ARE CORRECT.
    However, DT is not interested in Sprints business.
    Its their infrastructure that they want.
    Their is only so much land, by consuming these other carriers DT grows, and as they grow so does their ability to gain customers.
    This is not good for At&t..
    As now T-Mobile has the “fastest service” through LTE U and the purchase of the 600Mhz Spectrum. They will have the best signal on the market.. as the lower the frequency the stronger the signal. Which is why AM Radio can be heard greater distance than FM Radio.
    Verizon practically owns all of the 700Mhz region, and At&t uses 810Mhz I believe.
    Sprint will go away .. yes I really do believe that.

    • Andrew Addison

      Sorry, but Sprint is not affiliated with Verizon. Yes they are both cdma, but Sprint is separate from Verizon Wireless.

      • Chris

        Well I know in my market area whenever you don’t have signal for Sprint you fall back to Verizon Wireless.. I know some people that 90% of the time utilize Verizon’s 4GLTE network on their Sprint account.
        It’s an agreement that Sprint had established with Verizon years ago.

        • Andrew Addison

          Oh okay I understand where you are coming from now Bud.

        • Brandon

          And I remember WAY back in the day when Sprint was popular

        • Maverick_F14

          Chris the same agreement T-Mobile has with AT&T

      • Limeybastard

        CDMA, such a 20th century spec.

        • Andrew Addison

          You’re telling this because? I was strictly talking about Verizon and Sprint being both cdma, and that Sprint is not even affiliated nor is it owned by Verizon Wireless. I thought you would have known that answer by now there Bud. Make me understand what you are going with that statement of yours there. Thanks.

        • Limeybastard

          And I was talking in general about CDMA.

        • Andrew Addison

          Oh okay thanks for that clarification theres Buddy. Much Appreciated. You are awesome. Yes CDMA is sooo played out now. I dislove CDMA technology.

        • Limeybastard

          Agreed.

    • Andrew Addison

      Perhaps Softbanks is still willing to sell all of Sprints assets right on over to Deutsche Telekom and merging it, right into becoming the T-Mobile-MetroPCS Nation branding there. Nice. Awesome. :)

    • Limeybastard

      Indeed. Also, all the money that was spent to purchase the frequency, doesnt make sense for them to sell.

    • vrm

      Really ? Sprint’s coverage mostly overlaps t-mobile’s so they gain no extra coverage. Phones aren’t compatible and neither are networks. So they’d have to give free phones to 50 million people (or they may want to convert 70 million to CDMA). It will be the end of t-mobile and when the dust settles, we’ll be back to a duopoly of verizon and at&t with most of uncarrier features gone.

      And a profitable co t-mobile with relatively low debt will start making huge losses and with heavy debt from sprint/softbank.

      • Andrew Addison

        Wrong Sprints network will be converted over to gsm network. Why would T-Mobile-MetroPCS convert back to cdma for? Do you even know what is going on here or pay close attention to the fact that Softbank will be the ones to be selling all of Sprints assets or most of Sprints assets right on over to Deutsche Telekom? It means that all of Sprint will be converted right on over to being T-Mobile-MetroPCS branding, and all of Sprints network being converted into using T-Mobile-MetroPCS Advanced LTE Branding.

      • SirStephenH

        “Phones aren’t compatible and neither are networks. So they’d have to give free phones to 50 million people (or they may want to convert 70 million to CDMA).”

        Wrong. First off, most smartphones built today are compatible with both the GSM and CDMA specs and support T-Mobile’s main cellular bands. Secondly, CDMA is an inferior technology to GSM and it’s almost guaranteed that they’d stick with T-Mobile’s brand and tech and begin refarming Sprint’s spectrum to T-Mobile’s network.

        This isn’t T-Mobile’s first time merging with a CDMA carrier and it will likely go down exactly as it did before. When Metro PCS merged with T-Mobile they stopped selling phones for Metro PCS’s network, forcing people onto T-Mobile’s network when they upgraded, and started refarming spectrum to T-Mobile’s network. They didn’t completely shut down the PCS network until 2 or 3 years later, at which point the vast majority of customers had already upgraded their phones to one’s fully supporting T-Mobile because of the regular 2 year upgrade cycle. In the end they only gave a small discount on low-end smartphones for the few stragglers left.

        • SirStephenH

          The whole GSM vs CDMA thing won’t be an issue much longer anyways because they only cover 2g and 3g. LTE is a separate technology (based on GSM) so GSM and CDMA will be a thing of the past once the older networks are shut down in a few years.

    • SirStephenH

      T-Mobile is only interested in Sprint’s spectrum and customers. Most of the networks completely overlap so they’d be selling close to half of the combined company’s infustructure because it’s redundant.

      A T-Mobile/Sprint merger would create a company within spitting distance of AT&T’s number two position and provide a spectrum portfolio rivalling that of Verizon.

  • vrm

    What is wrong with this douche bag ? He wants to destroy a co that Legere & his team meticulously built over many years. Germans have become total cucks and morons.

    • Maverick_F14

      Nothing personal just business. Check your personal feelings at home. The merger/Aquasition will happen and legere has his days numbered. Living on borrowed time.

  • Andrew Addison

    Nope John is not going anywhere. It will be T-Mobile-MetroPCS owning all of Sprints assets.

  • Andrew Addison

    I must say that T-Mobile-MetroPCS will be owning all of Sprints customers and assets, due to Deutsche Telekom going to be buying all of Sprint, leaving the smaller portion to Softbank to own.

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