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Can SpaceX make T-Mobile great again?

SpaceX needs to step up to a bigger challenge.

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Anam Hamid
By · Senior News and Deals Writer
This article may contain personal views and opinion from the author.
spacex buying t-mobile won't fix the industry
SpaceX wants to enter the cellular industry. | Image by PhoneArena
As anyone with a modicum of maturity knows, online commentary and memes are the best part of any major news story. That's not because they offer a great laugh (though that's a huge part of it), but because an innocent internet quip often captures burning sentiments a long, rambling op-ed simply can't. So, while there are plenty of arguments for and against SpaceX's plausible takeover of T-Mobile, the real catalyst boils down to just one thing:

Consumers aren't exactly smitten with T-Mobile's current management


SpaceX recently said that it wants to build its own network from scratch, but that's apparently not the only path it's exploring to expand its reach. A Bloomberg report suggests it's considering teaming up with Charter, while two analysts have suggested it snap up T-Mobile.

We polled our readers on what Elon Musk should do, and received 4,610 responses. Of those, 2,015 (44%) want the world's richest man to purchase T-Mobile, while 1,737 (38%) would prefer he stay out of the telecom industry.

A mere 625 (14%) want SpaceX to stick with its stated goal of constructing its own network, and a tiny fraction suggested purchasing AT&T or Verizon.

What should Elon Musk do?
4616 Votes

Reestablishing T-Mobile's former glory



Author Nick Adams recently joked that Musk was going to make T-Mobile great again. The number-two carrier isn't exactly floundering, but it is definitely not the reigning favorite it was during its Un-carrier days.

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A SpaceX-owned T-Mobile (or maybe it would be rebranded StarMobile) might, at least initially, roll out customer-friendly policies, or at least revoke those that subscribers loathe.

Of course, if SpaceX finds its footing in the cellular industry, the typical corporate thirst for profit will inevitably take over. However, the takeover might still provide some respite to customers.

The real solution


SpaceX buying T-Mobile would keep the number of carriers at three and preserve the cozy triopoly that made the Big Three so brazen in the first place. Maintaining that kind of oligopolistic hold won't fix the industry's core issues.

On the other hand, if SpaceX somehow manages to become a true fourth facilities-based provider, that might revive genuine competition.

Make the telecom industry great again?


With AT&T and Verizon having recently introduced more value-oriented options, and T-Mobile possibly about to do the same, the triumvirate seems to have finally realized that the current model is unsustainable.

Ultimately, dismantling the structure that created this environment is what matters most. Data shows that the T-Mobile and Sprint merger is directly responsible for pushing bills higher for all customers. That's because markets with only three major mobile network operators tend to have higher monthly prices and gigabyte rates.
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