Would you like to see the Sprint-T-Mobile merger blocked? (poll results)
T-Mobile and Sprint asked for another extension of their proposed merger approval timeframe, seeing as most analysts are now placing the possibility between 33%-50%, down from nearly 90% just a few months ago.
Leaving Sprint to hobble along is not an ideal solution, so the merger could be approved, after all, but in a different form and with different guarantees than the deal is proposing now. That is why we asked you last week if you are for or against the deal, and whether you would like the current DoJ push for blocking it to materialize.
Despite the potential for job losses, price hikes, and thinning the competitive landscape that caused a political and union outcry, most of you are rooting for the new T-Mobile or a deal revamp. Less than a third want the deal actually blocked which is an encouraging sign of trust into the promises of CEO John Legere about prices and jobs after the merger.
On the other hand, there is a growing concern among the national security apparatus that, besides the usual arguments for job losses and price hikes, the merger will be a nightmare scenario in light of the Red Menace attitude towards China in Washington now.
T-Mobile argued that the new entity will be lowering prices and won't charge extra for 5G, in order to poach customers from the big two - Verizon and AT&T.
T-Mobile and Sprint exhibited the pros and cons of the merger for the FCC last week
That's good news for consumers but after the initial amassing of new customers is completed a year or two down the road, nothing could prevent a price creep and/or cost cutting measures for achieving economies of scale, i.e. layoffs. If anyone could deliver the merger against the current poor odds, however, that's John Legere, whose flamboyant and customer-centric style has been proven in battle numerous times already.
T-Mobile's CEO, the COO Mike Sievert, and CTO Neville Ray, as well as Sprint's executive chairman Marcelo Claure, already met with the FCC commissioner Jessica Rosenworcel this past week to lay down their counterclaims, and have now asked for a merger delay to sort it all out.
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