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Deutsche Telekom in talks to sell T-Mobile USA to Sprint and keep a stake in the resulting carrier

0. phoneArena posted on 08 Mar 2011, 09:15

T-Mobile's owner Deutsche Telekom is reportedly exploring different options for America's 4th largest carrier, including selling it to Sprint, and keeping 50% stake, or buying wireless spectrum from Clearwire...

This is a discussion for a news. To read the whole news, click here

posted on 08 Mar 2011, 11:10 3

15. bluechrism (unregistered)

US needs more competition, not less - plans from the big 4 are overpriced relative to European equivalents (just look up European carriers hompages to find out) and I don't know how it's going to work for the users of eaither network as the tech is so different between GSM and CDMA. Do you really want AT&T to be the only company to offer world phones (most of the world using GSM?) as well. I'd love Vodafone or someone to add to the GSM world in the US instead.

T-Mobile and sprint suffered reputation issues, but both have cheaper plans than Verizon and At&T and good coverage in cities. T-Mobile was screwed when they bought their 3G bandwidth of the government and had to wait 4 years for the government to stop using it, but now seem to be cracking on and I have always had good customer service from them.

posted on 08 Mar 2011, 11:26 1

18. BaiGanyo (Posts: 308; Member since: 07 Feb 2011)

DT doesn't want to invest any money in Tmo but wants to own a big stake of Sprint. Hmmm. They are uber controlling and are simply trying to get something for nothing by trying to make a power play for Sprint. I don't think it will work out for them.

posted on 08 Mar 2011, 11:35 1

20. cornerofthemoon (Posts: 601; Member since: 20 Apr 2010)

The Wall Street Journal thinks it won't happen for a long time, if it happens at all.

posted on 08 Mar 2011, 13:35

28. snowgator (Posts: 3604; Member since: 19 Jan 2011)

W.S.J. is very reliable in this particular field. (mergers)

posted on 08 Mar 2011, 11:48 1

21. skymitch89 (Posts: 1362; Member since: 05 Nov 2010)

I could see T-Mobile buying spectrum from Clearwire, maybe for more HSPA+ roll out or even eventual LTE, but not Sprint buying T-mobile. For one, neither company can really afford to buy the other; and two, T-Mobile is GSM based and Sprint is CDMA based.

posted on 08 Mar 2011, 11:52 1

22. vvelez5 (Posts: 623; Member since: 29 Jan 2011)

I'm just gonna copy and paste a comment I put on another website that announced this a lil before this one. "I know its purely speculation and I know T-mobile isn't as bad as Nextel's quality but I would think Sprint has learned from that merge to focus on their own infrastructure then to buy into someone elses."

posted on 08 Mar 2011, 12:00

24. DOGIEFRESH (Posts: 306; Member since: 15 Jul 2009)

Seems like Sprint didn't learn its lesson from Nextel fail, they're two completly different networks and the integration between those will take a lot, not to mention the money Sprint go to spend in the process, money that they don't have.....!!!

posted on 08 Mar 2011, 13:13 1

27. cornerofthemoon (Posts: 601; Member since: 20 Apr 2010)

The only way it would work is if Deutsche Telecom plays sugar daddy and they consolidate all of the networks into one brand. Perhaps Sprint could offer LTE, GSM, CDMA and iDen devices or they could come up with a completely new name.....sounds tres expensive and impractical though.

posted on 08 Mar 2011, 14:16 1

29. MATOZ (unregistered)

I prefer to in the eventuality of a fusion between Sprint and Tmobile, the technology used MUST be GSM (HSPA, HSPA+ bla bla) instead of CDMA (for me to old tech).

But, I have Tmobile account and don't want to switch to Sprint... CDMA technology.
Who knows!! what happen next.

Some interesting commercial names!:

Next Mobile
Mobile Sprint

He, hehehehe...

posted on 08 Mar 2011, 16:53 1

32. luis_lopez_351 (Posts: 951; Member since: 18 Nov 2010)

whats up with all these thumbs down D; :) im responsible for it xD

posted on 08 Mar 2011, 17:03

33. Boti95 (Posts: 162; Member since: 05 Sep 2010)

This would be good thing. Now Sprints pre-paid carriers (if Sprint buys T-Mobile) would have GSM technology too! Think about it! Virgin Mobile woud have 4G and GSM phones which you could swap SIM cards and the same with Boost Mobile. T-Mobile's prepaid carrier would have more phone options and CDMA technology too!

posted on 08 Mar 2011, 18:16

34. oddmanout (Posts: 442; Member since: 22 May 2009)

Funny how just last week I read an article on tmonews putting all the rumors to rest about sprint acquiring t-mobile. From what I've read, DT isn't looking to sell T-Mo at all and will remain an independent company.

posted on 08 Mar 2011, 18:37

35. tmorep (unregistered)


posted on 09 Mar 2011, 12:39 1

44. snowgator (Posts: 3604; Member since: 19 Jan 2011)

According to Bloomberg (March 9th has an update on this story) it is not entirely a cash money purchase. Deutsche Telekom would keep a major holding in the ENTIRE new company. The same article states that this deal would be a 40 cents on the dollar loss on D.T.'s original investment. Last year alone, T-Mobile dropped 8% in value. Again, all according to Bloomberg.

posted on 08 Mar 2011, 23:21

38. kg4icg (Posts: 77; Member since: 18 May 2008)

I don't know why Bloomberg keeps popping up this rumor every year. Maybe to get stocks pumped up. SSDY.

posted on 09 Mar 2011, 23:45

45. yungghost (unregistered)

Pretty interesting comments on the merger of sprint and t mobile but unfortunately i am against it I would rather a company like Google buying out t mobile USA. How would such a merger transform the wireless industry. Please comment i want to hear your thoughts on that as impossible as it seems.

posted on 10 Mar 2011, 06:26 1

47. snowgator (Posts: 3604; Member since: 19 Jan 2011)

No advantage to Google on that deal. They are in position to become the world leader OS (numbers only), why take on a project like a carrier with all the hardware problems like a T-Mobile when that is not your strength? T-Mobile is easily in position to rebound- a good (not great) national network, name reconigtion, and a fairly loyal subscriber base, recent losses accepted. Someone should stand to profit real well from this, Deutsche Telekom wants to concentrate on the non-U.S. market that is wayyyyyy more profitable for them and just wants out. (What is the proper way to pronounce "Deutsche"? The way I keep saying it in my head is a female cleansing product. Probably not correct, huh?)

posted on 10 Mar 2011, 19:28

48. ddsindpls (Posts: 17; Member since: 16 Sep 2007)

Sprint does not need another network. CDMA, ISDN, GSM? Bad idea.

posted on 10 Mar 2011, 20:18

49. downphoenix (Posts: 3165; Member since: 19 Jun 2010)

If this happens, it will certainly be smoother than the Nextel merger.

T-mobile will probably be maintained independently until LTE becomes the norm for new phones, and they will probably still maintain their CDMA as Sprint and GSM as T-Mobile independently, not unlike how Alltel is still operated independently from Verizon and just being slowly phased out, they will do the same to T-mobile as GSM gets phased out slowly. The merger will be in name only really until then, the only thing that might come out of it besides that is integration of the billing systems, etc. to help lower operating costs.

posted on 13 Mar 2011, 01:40

50. luis_lopez_351 (Posts: 951; Member since: 18 Nov 2010)

seriously man what with the thumbs down ;)

posted on 20 Mar 2011, 14:42

52. dIESEL88 (unregistered)


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