Sprint readying $20B bid for T-Mobile, report says
Sprint is readying a potential $20 bid for T-Mobile US for the first half of 2014, says industry insiders speaking with the Wall Street Journal. The deal, which would marry the 3rd and 4th largest carriers in the United States, is certain to face heavy scrutiny by the Department of Justice. As many of you know, federal regulators made it quite obvious that they are concerned about competition in the space. Only look at how the proposed deal between AT&T and T-Mobile went down a few years back.
Sprint and T-Mobile have both seen their fair share of acquisitions and mergers over the last few years. T-Mobile and MetroPCS have combined forces while Japanese carrier SoftBank now owns the lion’s share of Sprint. Were T-Mobile and Sprint to ultimately merge it would make for a close three way fight. A fight, sadly, that could result in higher rate plans and less awesome perks. Indeed, it could spell the end of the Un-carrier strategy.
It’s quite early in the game and there’s plenty of time for the details to spill out; don’t look for anything to happen until for at least a few months. Once things are announced it will then turn over to the governmental departments. After that, who knows.