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Sprint Still Considering A Merger With T-Mobile
T-Mobile Sprint 2 min read No comments

Sprint Still Considering A Merger With T-Mobile

The future of T-Mobile USA has been getting a lot of coverage in the media lately due to lack-luster strategy and the possibility of a merger with Sprint. Now, rumors are circulating that Deutsche Telekom, T-Mobile USA's parent company, is in talks with Sprint to sell off their stake in T-Mobile USA and merge the two companies.

We heard back in July of last year that Sprint and T-Mobile were considering a merger, and it was reported by some websites last month that negotiations were still going on since then.

In January, we also heard that the CEOs of Deutsche Telekom and T-Mobile USA were meeting up to discuss changes in strategy aimed at increasing T-Mobile USA's number of customers.

Bloomberg is reporting that some of their sources believe Deutsche Telekom is trying to "sell its T-Mobile USA unit to Sprint in exchange for a major stake in the combined entity." They are considering selling "all or part of the US business, and all options are open."

One of the reasons behind the long amount of time it is taking to seal the deal is disagreement on the value of T-Mobile USA. 

Sprints has been silent about the rumors, neither confirming or denying. It seems like Deutsche Telekom wants to increase their presence in America not only by improving T-Mobile USA's strategy, but also by joining it with Sprint, while still maintaining a decent amount of control of both companies.

Whether or not such a deal might be agreed on is hard to say, if it would even be allowed by the US government.

Image from Engadget


Source: Bloomberg

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