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techkenyot.com November 20, 2018


How Does The FCC's Latest Action Impact The T-Mobile - Sprint Merger?

14 September 2018, 11:29 | Casey Mitchell

Sprint T Mobile CEOs on the odds of merger approval

Sprint T Mobile CEOs on the odds of merger approval

(S) has been put on hold by The Federal Communications Commission (FCC).

The proposed deal is complex and very high-profile, considering that it involves subsidiaries of two global corporations, Deutsche Telekom of Germany and Softbank of Japan, and also because of its direct impact on US households.

The FCC is pausing its informal 180-day "shot clock" for the merger as T-Mobile has submitted substantially revised information to the Commission. The companies had tried to merge twice in the past, but regulators and internal disagreements prevented it from happening.

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T-Mobile is one of the biggest earners for its parent Deutsche Telekom of Germany.

"The clock will remain stopped until the applicants have completed the record on which they intend to rely and a reasonable period of time has passed for.staff and third-party review", the FCC letter stated. The FCC called it "significantly larger and more complex than the engineering submissions already in the record".

Lastly, T-Mobile recently said that it plans to submit additional economic modeling in support of the merger, and the FCC believes that it requires more time to review. The commission said it only received information pertaining to Build 9 on September 5. Accordingly, the Commission and third parties will require additional time to review it. The pair claim that the move will benefit the public by, among other things, increasing the rollout speed of their 5G networks.

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T-Mobile has been looking to build a narrative that the merger will be good for USA wireless customers, as it creates a stronger rival to market leaders Verizon and AT&T, while also allowing the U.S.to better compete with other nations in deploying the next generation of 5G networks.

Lunge and T-Mobile launched in April they'd agreed to an all-stock merger price $26 billion, with T-Mobile CEO John Legere to bewitch management of the mixed company, to be known as "Fresh T-Mobile". "We are confident that this transaction is pro-competitive, good for the country and good for American consumers".

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