Andre Yoskowitz
15 Dec 2013 0:10
On Friday, the WSJ reported that Sprint is preparing to bid on rival carrier T-Mobile USA in a deal that will cost them over $20 billion.
The report claims Sprint will explore antitrust issues before proposing any deal, which will take months, suggesting a mid-2014 bid, at the earliest.
A merged Sprint/T-Mobile would be a major competitor to market leaders Verizon Wireless and AT&T, especially as Sprint and T-Mobile offer the best values for their plans, offering as low as $60 a month for unlimited everything plans.
Both companies have significantly expanded their LTE offerings in recent months, and are competitive on that front, although Verizon is the clear winner as far as national support goes.
Before any deal could be completed, the companies would have to get FCC approval that the deal would not lead to higher prices for consumers. AT&T was rejected from buying T-Mobile in 2011, due to antitrust issues, but Sprint and T-Mobile are the third and fourth largest carriers in the nation, so a combination would make them competitive with the current almost-duopoly of Verizon and AT&T.