T-mobile Sprint merger is a $146 billion deal that’s set to give users a 5G network technology.
Both US-based carriers have been trying to close the deal for years, but has only come to a close last April 29, 2018. The announcement was released on Twitter by Tmobile CEO John Legere.
He said that the parties involved “have reached an agreement to come together to form a new company – a larger, stronger competitor that will be a force for positive change for all US consumers and businesses!”.
Tmobile has got the reins with Legere as CEO and Mike Sievert as COO. However, the Justice Department may get in the way of finalizing the said deal. It can be recalled that the Justice Department had once blocked a merger deal between Tmobile and AT&T in 2011 due to anti-trust violations.
Will the same thing happen to Tmobile Sprint merger?
Legere thinks otherwise for he believes that the market, with 8 big players, needs a game-changer that will shake up the competition. Tmobile, who has 39 million customers at the moment, still needs to play catch up with AT&T’s 89.3 million and Verizon’s 116.2 million.
Meanwhile, prior to the merger, Sprint has been having a slow growth with 54.6 million customers. But by going for 5G, Legere hopes that the authorities will see its remarkable benefits, which can bring them to the same level as the top two carriers.
Examples of these benefits include but not limited to the following:
Job growth – 200,000 employment opportunities in the US
Faster and wider network technology (5G) – the first of its kind
15x faster speeds by 2024
Better user experience – augmented reality, real time cloud information, etc.
If this Tmobile Sprint merger is finally able to get clearance from regulators, the deal should be finalized sometime in the first quarter of 2019.
Furthermore, here’s a video of Legere and Sprint CEO Marcelo Claure sharing some info on the merger.