T-Mobile CFO says Sprint merger could close as soon as Q1 2019


When T-Mobile and Sprint first announced their merger agreement, the two companies said that they expected the deal to close in the first half of 2019. Now they feel that the merger will be complete sooner rather than later.

Speaking at the Morgan Stanley TMT Conference in Barcelona, T-Mobile CFO Braxton Carter suggested that the T-Mobile-Sprint merger could close as soon as the first quarter of 2019. “The only remaining thing that is happening is depositions with the DoJ, which have started and will be completed in a few weeks,” Carter explained.

The CFO then admitted that the deal may still have to wait until the second quarter of 2019 to be completed, but that there’s still a chance we could see it happen in the first few months of the year. “At this point, it’s more pointing to the second quarter as more probable (but) it could still be first quarter,” he said.

Finally, Carter talked up the proposed T-Mobile-Sprint merger and the benefits that the two companies feel it would bring, saying, “The combined assets of Sprint and T-Mobile can create 8 times the 5G capacity that either of us could do on a standalone basis and 15 times the speed.”

The FCC recently announced that it will restart the informal 180-day shot clock on its review of the T-Mobile-Sprint merger after receiving an econometric study from the two companies that the FCC described as a “substantial body of new material on economic issues central to the review of the proposed transaction”. The FCC is now seeking comments on the new study until December 4, at which point it’ll resume its informal 180-day clock.

Based on what we know so far, what do you think the odds are that the T-Mobile-Sprint merger is approved by regulators and is completed?

Source: Reuters

Tags: , ,

  • Hurlamania

    I always thought it would be approved because they had went forward with it a second time they must have had some inside information that things would be in their favor but T-Mobile has done things recently with their plans that would show negativity in the merger compared to what Sprint is offering and T-Mobile is taking things away T-Mobile has not shown it anyway what benefit the customer would have they say lower prices well give us examples show us what new T-Mobile pricing will be. It must be major stipulations of what they will do and what they will offer and there should be severe penalties if these are not followed as in loss of spectrum and transfer of customers

    • francob911 .

      If this merger gets approved prices will increse. The customer will only benefit in better cell service. All 3 carriers will agree what prices they want us consumer to pay

      • Hurlamania

        Naturally as history has shown, I was just going by the statements of John Ledger and T-Mobile I guess we’ll wait and see

      • Acdc1a

        As long as the MVNO’s pricing is preserved I don’t find that to be a credible argument. Comcast and Spectrum should start eating into the traditional wireless market soon. That’s where your pricing will be checked.

  • Robert Roll

    i think it will be approved question is what stipulations will they put on the merger. i think what will happen is the base price for cell service will not go up but they will increase the price for the add-ons which they have already done .. i.e. One Plus is now $15 up from $10 and used to be $5 and One Plus International which was $25 has been replaced with a new $50 option.. granted they now give you more hotspot data with the new $15 dollar add on and the $50 includes everything the $25 had plus Unlimited LTE data and calling in 210+ countries now pretty much like the Unlimited Talk Text and Data in Canada and Mexico but its global

    • dcmanryan

      You nailed it and it’s only going to get worse. Sprint was keeping T-Mobiles pricing in check.

      • Acdc1a

        Sprint has done nothing to keep T-Mobile’s pricing in check. Sprint GAVE SERVICE AWAY and it didn’t change T-Mobile’s pricing.

        • dcmanryan

          They were the only one lower than T-Mobile. Have you not noticed how little perks have been disappearing? All the added garbage needed to get a decent phone deal? If you haven’t noticed you will after the merger because it’s going to get way worse.

      • CS

        I don’t really buy that. I would never consider Sprint because service isn’t good enough so I don’t see how it influences their price. Sprint competes in a separate space along with virtual operators. I think T-Mobile’s lower pricing is to entice people to switch from the big two. However if you want the lowest possible monthly cost for a phone that only works well in urban areas, I guess that will depend on the virtual operator contracts the FCC/DoJ requires them to keep as part of this deal.

    • Gaius_Baltar4

      Actually if you want to get technical about it One Plus started at $15 then went to $0, and $5, as promotions and is now back at $15 with double the hotspot data from when the feature launched.

      Also the new $50 feature gives unlimited high speed data and calls while traveling world wide which is a big deal and wasn’t possible before.

      • CS

        I really have no complaints as long as they continue to provide more for less money than AT&T and Verizon. I think things will stay in check for awhile. They still have a lot of customers to steal to keep investors happy and can move on to broadband or TV customers to continue keeping them happy. When they run out of new markets is when some sort of collusion on pricing may be more of an issue.

  • aglee89

    I can see it now, ” Customers can benefit from the 5g upgrades, you just have to add a line to your account”

  • ccccc

    Just in time to lock people into those 3 year contracts… umm I mean “bill credits”. I never thought Tmobile would turn into a Canadian telecom so quickly !

  • CS

    If Sprint had the low-end spectrum to be more competitive I’d have more reservations about this happening. Since they don’t and probably never will, I think using the merger to strengthen T-Mobile is the best way to improve competition. It will also hopefully result in more broadband competition with fixed point 5G. Some sort of fixed point 5G rollout guarantees is something that I’m sure the FCC would like to see with DSL lines disappearing from many areas. Even a single company providing services in an area is better than no broadband service at all.