Sprint eyeing T-Mobile USA for potential merger?

Mar 8, 2011
2
Sprint eyeing T-Mobile USA for potential merger?

When it comes to odd bedfellows, GSM and CDMA generally don't mix, but according to the latest carrier rumors that may not be the case forever. Businessweek's sources claim Sprint is in talks with Deutsche Telekon over buying T-Mobile USA in return for "a major stake" in the resulting combined company, with negotiations currently caught up on a fair valuation of T-Mobile.

However, two sources claim T-Mobile USA is also looking into buying wireless spectrum from Clearwire as an alternative to a Sprint merger. Deutsche Telekom CFO Timotheus Hoettges would only say that "In general, all options are open in the U.S. -- the sale of the whole business or of parts," though has previously claimed that the carrier is "not under pressure" and won't be rushing any decision.

Last week, Sprint suggested it was considering an LTE 4G network deployment that could, the carrier insisted, be operational by 2012 and cover the US by 2013. However, there was speculation that Sprint's motivation was to pressure WiMAX partner Clearwire amid ongoing wholesale revenue negotiations.


Must Read Bits & Bytes