Comcast and Charter agree to partner up on wireless; will they buy T-Mobile or Sprint?

Comcast and Charter agree to partner up on wireless; will they buy T-Mobile or Sprint?
The nation's number one and number two cable television firms, Comcast and Charter respectively, announced today that they are teaming up on what is being called "wireless phone ventures." Comcast recently announced that it will offer later this year an MVNO service to subscribers called Xfinity Mobile. This will be a hybrid service depending on both Xfinity's large number of Wi-Fi hotspots, and Verizon's 4G LTE network. Charter will also start its own MVNO service using Big Red's network, but this won't launch until 2018.

Under the terms of their partnership, Comcast and Charter will be able to offer their own MVNOs to each of their separate subscribers. However, both will work together on certain aspects of their wireless offerings including "common operating platforms; technical standards development and harmonization; device forward and reverse logistics; and emerging wireless technology platforms."

Both firms agreed not to make any big acquisition in the wireless industry for one year without the consent of the other. Speaking of M&A, analysts are already looking at the possibility that Comcast and Charter will team up in order to purchase T-Mobile or Sprint in order to challenge Verizon and AT&T. It will also give Comcast and Charter their very own nationwide network.

Whatever happens, you can be pretty sure that the wireless industry in the U.S. will look a lot different in two to three years time.

source: Comcast


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