T-Mobile and Sprint Merger Expected to Receive Final Approval Tomorrow
A judge overseeing a lawsuit aiming to stop the merger between T-Mobile and Sprint is planning to rule in favor of allowing the deal to go forward, reports The New York Times.
The FCC formally approved the merger between T-Mobile and Sprint in November 2019, but attorneys general from 13 states and the District of Columbia filed an antitrust lawsuit aiming to block it. The states argued that combining the two companies was not in the public's interest as it would reduce competition and lead to higher smartphone bills.
Final arguments in the antitrust suit took place last month, and sources that spoke to The New York Times said that none of the parties involved have read the judge's ruling yet, so there could be conditions or restrictions attached.
Both Sprint and T-Mobile are planning to make announcements related to the merger on Tuesday, as the lawsuit was the final roadblock preventing it from moving forward. If the judge does indeed rule in favor of Sprint and T-Mobile, the newly combined company will be known as T-Mobile and it will have 100 million customers.
The two companies have committed to building a nationwide 5G network covering 97 percent of the U.S. population in three years and 99 percent within six years. They have also promised not to raise their prices for three years following the merger's completion.
Under the terms of the deal, both T-Mobile and Sprint were required to sell some of their assets to Dish, as the FCC wants to see Dish become the fourth nationwide facilities-based wireless carrier in the United States.
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The Time Warner/Spectrum merger. I remember being in touch with friends who worked at Time Warner for the two year period between the announcement and finalization and plan roll outs that came in Feb/March 2017. I kept every document sent from Time Warner promising plans would be lower, bills simplified, faster speeds, and records of all communications on how my plans would change for the better etc etc. and was in regular touch with my friends who worked in corp as I wanted to take advantage of the faster internet speeds and the plans they initially intended to roll out. I have a home in Pittsford (Rochester) NY which locked out other cable providers besides Time Warner as Rochester Tele/Frontier and Monroe County had a "deal". No one could lay new lies down which meant satellite or DSL where the only other options. Greenlight Networks found a way around it by going door to door over the past few years which bypassed stipulations but in order to get the service your neighborhood has to pass the 60% demand threshold for Greenlight to lay down new lines so there are parts that aren't getting service years later while a neighborhood right next to me has had it for years.
Then February 2017 comes and Spectrum announces a delay. Turns out they got tipped off from Ajit in the FCC that the administration was deregulating the telecom industry for "national security" which really gave them the green light to increase prices esp in markets where there was no competition. Now ~75% of the US internet/cable market is owned by one large conglomerate. Gone are the days of renewing contracts every 12 months through the retention dept as they don't bother working with longtime customers since they know there aren't better alternatives unless you cut the cord yet that's just cable and most don't know how or want to be bothered. My monthly for 350/30Mbps, silver tier cable tv, and phone is $287 and if you try to remove any one of the three it goes up in price as they want people on their package plans.
Longterm the same thing will happen with Sprint and t-Mobile Stateside. Another Ma Bell with promises they won't keep. It's all about the Benjamins.
With John Legere stepping down at the end of April 2020, I fear the new T-Mobile will not be the disrupting trailblazer of old. They'll start by laying off hundreds if not thousands of jobs. Then after 3 years, prices will rise and plans will change in their favor.
Less competition only means 2 things. Higher prices and generally, worse customer service, for consumers.
Phones aside, U.S. voice & data plans were the cheapest in the mid-2000s when we had Cingular, Sprint, Nextel, AT&T, T-Mobile, and Verizon to choose from. I know it was a different era in terms of phone tech, but carriers were forced to consider 5 other competitors when pricing plans & offering promotions.
just my opinion.