Would you like to see the Sprint-T-Mobile merger blocked? (poll results)

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.

Would you like to see the Sprint-T-Mobile merger blocked?

Yes
30.69%
No, it should go ahead as planned
62.93%
No, but it should proceed in a different form
6.38%

The triple jeopardy over the T-Mobile-Sprint merger is threatening the deal's very existence, though. T-Mobile's parent company and using Huawei equipment is in the spotlight, but it seems that the Department of Justice is more focused on the pricing cartel and employment effects, meeting with T-Mobile and Sprint officials last week to discuss the pros and cons of the proposed merger. 

The odds have swung in favor of a no deal, say analysts. Too many political points are to be scored against the deal than for it, for instance. Besides the usual "letters of concern" from the competition, Senators like Amy Klobuchar, Kirsten Gillibrand, Elizabeth Warren, Cory Booker and Bernie Sanders have also written on to DoJ and the FCC to state that the deal will "raise prices for consumers, harm workers, stifle competition, exacerbate the digital divide, and undermine innovation." In addition, we have 37 Members of Congress penning a similar letter, calling the merger "a bad deal for the American people."

Back in the fall, the competition had reportedly given up on derailing it, and is actually trying to push through conditions that will benefit it when the merger goes through. C-Spire, for instance, met with FCC reps, and reiterated their desire for checks and balances on the resulting third-largest US carrier.

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.

Protect America, for instance, an advocacy group of current and former foreign policy and national security experts that was found last fall, is lobbying tooth and nail against the deal on account of the "foreign ownership interests in a combined Sprint-T-Mobile."

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.


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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11 Comments

1. rebretz

Posts: 115; Member since: Dec 26, 2011

Only reason I want to see the merger is Sprint has no chance of ever catching up. They have lost market share every year since 2012. T-Mobile has made strides and closed the gap but on their own they will never actually be a match for AT&T and Verizon. If some other company would buy Sprint and be able to compete that would be great but I don't see that happening. Sprint is too far behind in terms of coverage and tower construction.

3. oldskool50 unregistered

You're asking for the wrong thing. We don't need Sprint or T-Mobile to be able to compete with VZW or ATT liek you are saying, becau ethat means paying a whole lot of extra money for a whole lot of nothing. Keeping them apart has kept them lower in cost for what is basically the same service. Why pay more if you aren't getting more? If T-Mo and Sprint unite, then they are simply gonna raise cost to be on the level as them. Why would you wnat that? Both carriers carry many of the same models of phones that matter that most people buy. But they also carry models that are cheaper to encourage subscribers, unlike ATT and VZW. This is why the US Gov't broke ATT into smaller Bell's, because they were basically price gouging customers with no added benefit. Allowing coprs to get too big where they start to actually hurt customers is a bad move. T-Mo and Sprint combining isn't gonna provide anymore competition then they already do. Sprint is losing customers, because they simply have crappy service and crappy customer service. if you can't get your act together, then I rather just see them go out of business. after all that is how capitalism works. Verizon was once the most hated carriers behind ATT for several years, because of how terrible they use to bully their customers. But they spent years improving not only their crappy service, but customer service too. And they are much easier to work with than ATT is. I don't need another ATT to deal with and you shouldn't either. What you are asking for isn't gonna help prices. ATT and VZW are well established and the only thing that will bring them down is themselves, not some stupid pointless merger.

9. cncrim

Posts: 1590; Member since: Aug 15, 2011

I guess you dont understand is merger will get no benifit, why should we the once bail them out. Sprint need to be more Innovation, Tmobile was number 4 and they were manage to be profit. I think what you don't understand is as public company bottom is matter and Monopoly or less competition is one way to get there, dont be fool how they spin the story. Sprint will be bankruptcy if merger, no they wont as soon as at the right price there will be ALWAY someone will buy it. Example the phone on your hand worth 900, and if you will to give 50% off, i will buy it off from you.

11. rebretz

Posts: 115; Member since: Dec 26, 2011

I understand mergers well but I assume you forgot how T-Mobile was able to "innovate" after the failed take over by AT&T. T-Mobile received $3 billion in cash as well as access to $1 billion worth of AT&T-held wireless spectrum. That's the only reason T-Mobile was able to do what they did. They got an immediate large influx of cash to throw around as well as spectrum they didn't have to pay for. It's not like they had a brilliant plan no one else thought of. They had ample amounts of cash and free spectrum to expand. I'm sure if somehow billions in cash and spectrum fell in Sprints lap they would be able to roll out some better coverage but that won't happen. A Sprint bankruptcy would be worse for consumers. Verizon and AT&T would be able to pick the bones clean and tighten their hold on the American Wireless networks. Right now based on pricing America actually operates as two MNO country. Quote from an article talking about pricing. "Unfortunately, for us here in North America, things get even worse because while the U.S. is, essentially, a four MNO country (AT&T, Verizon, T-Mobile, and Sprint), the median price for a gig of data comes out to about 4.5 euros, which is three times higher than the median for a typical four MNO country." At least the New T-Mobile promised not to raise pricing on 5G once it's deployed unlike Verizon and AT&T already saying 5G will cost more for plans. If there is no competition for 5G except AT&T and Verizon then who knows how much they'll charge for 5G.

2. LAgurl

Posts: 119; Member since: Dec 05, 2018

Right now i dont care since i have verizon, maybe in the future if it does happen and its coverage matches verizon and has good pricing i might look into it

5. oldskool50 unregistered

But they won't offer good pricing. They will stay low to encourage some jump-offs. But once their subscriber base is at least within 10% of number 2 ATT, they will raise prices to match at least ATT at that point. The reason I know this to be true, is because when ATT bought wireless carriers like Cingular and others, they jacked up their prices once they had a good amount of subs. I left VZW for awhile and went to T-Mo. I switched back, only because I went to more places where I didn't have service with T-Mo vs VZW, and so i went back. So paying a little extra to know I will have service in remote areas where I go to is important to my work. But the fact is, when you look at all 4 of their services maps, they all have crappy services in certainly places in the US, it just its in different places.

4. oldskool50 unregistered

Yes keep it blocked. Because if they merge, they will use that as an excuse to increase prices for the exact same service they already offer. T-Mo and Sprint are already competitive enough in that they both offer very similar service at a far lower cost. All of them have spotty service somewhere in the US, and no matter which one you are with, there are places here you are never gonna have service. For any wireless subscriber that lives in a major city where all of them basically offer the exact same service, it is pointless to pay an extra $30-$100 for the exact same thing. If T-Mo and Sprint merge, the very first thing that is gonna happen is they will raise all costs to where right now where they may be about 30% less for the same service, they will them be only 10% less. They will just be cheap enough to say they are cheaper than VZW and ATT, but in reality you will be paying basically the same. I don't want higher prices, because if they merge and increase prices, ATT and VZW will also simply do the same. There will be zero benefit to customer. They will like VZW and ATT, decrease their selection of cheaper model phones, which will push many of their premium subscribers, to their alternative cheaper carriers like T-Mo's MetroPCS or Sprint's Boost and some of those other cheap services. The main reason the US Gov't broke up ATT is because they had a 100% monopoly on telephone services, because they are the ones who built all the infrastructure for land and wireless services. But they did it at the expense of charging grossly high prices. breaking them up created competition that resulted in better service and lower cost. If you allow them all to just combine up again, but under a different name, then they have less competition and will simply start raising costs for no reason other than you have no choice but to choose them, or choose their cheaper options which they also already own. I think most people have zero understanding of how, allowing large brands who already have a large customer base, to combine to be larger and then they start hurting customers with crazy high costs and fee. Right now I pay $40 per line on VZW. If T-Mo and sprint merge, VZW will surely raise the cost to at last $50-60 per line and still offer the exact same coverage and services. When you consider the fact that ATT and VZW already have 2/3rd's of the country on their service, the relics that are left choosing a combined SprinT-Mo, they will simply raise costs to nearly match what the others charge because that is what the rest of us are paying and is they can squeeze another $20 or more out of you for nothing, what would stop them? that's right...NOTHING!!!

6. Jphones

Posts: 259; Member since: Feb 10, 2012

It's sad when people don't know what consumer focused mergers are. I worked for TMobile when they bought Metro PCS. Everybody thought all Dom and gloom like y'all. They actually increased coverage and speed. Woke lowering prices on plans and phones. A merged TMobile and Sprint could finally challenge at&t and Verizon. Right now T-Mobile has the fastest 4G network, the cheapest with the tied for second best coverage. Yet the big 2. Have almost double the amount of customers. They got a head start and we need somebody to challenge them. T-Mobile will still be the cheapest with the best deals. In the filling airway says won't charge more for 5G. Some industries can function just fine with 3 major operators. This isn't at&t trying to buy TMobile aka 2 buying 3. It's 3 and 4 joining forces against the big 2.

7. izim1

Posts: 1607; Member since: Feb 04, 2013

Comparing metroPCS to sprint is as ignorant as one can get...

8. Vega007

Posts: 92; Member since: May 18, 2017

Sprint has no chance to catch up and is garbage. Do people a favor that somehow ended up on Sprint and let this go through!

10. BlackOrb

Posts: 4; Member since: Apr 17, 2019

As a long time Sprint customer I can tell you that whatever happens Sprint will screw over its existing customers. They always do and always will. The service is trash, their website is trash. If ghetto housing projects were a phone company they’d be Sprint. But it’s cheap. So if they raise prices even a dollar they will ease to exist as a retail brand. They have to merge otherwise we all get burner phones.....which are probably on Sprints network anyway.

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