FCC approves Sprint/Nextel Deal

Wow breaking news. Good find there.

 

Excellent news! DOJ also approved the deal today, so I guess it's time for them to break out the yellow and black shirts.

 

Yep it's official now. We now can say we have nearly 40 million customers.

 

Not yet. Maybe tomorrow. Sprint said they will close the merger "shortly", but all the approvals are in place.

 

Congratulations Larry and Chris! Now you feel the joy we had last year on October 26th!

I wish Sprint and Nextel the best in this new venture.

 

Hurray! Now lets see sprint start putting some pannels on Nextel towers!

 

hooray for Sprintextelularco!!!

 

I was surprised how "quietly" this happened. There were no strong rumors leading me to expect it this week...just soon. They are also fortunate to have no divestiture requirements. I guess it's due to the incompatible technologies.


On Wednesday, the FCC delivered a unanimous decision among its four commissioners -- evenly split between Democrats and Republicans.

That usually takes a bit of negotiation to accomplish.

 

That's already happening out here in CA.

 

Ok ok you got me on a technicality.

 

Wow, that is good to hear & no wild diverstures either, guess the consultants they hired that did the Cingular/AWE Merger learned a few things as well.
This will make for an interesting future to see the direction this takes us all in the wireless world, and hope the mergers don't cause prices to go up, but cause more competition in the field.

 

The Washington Post reported today that the merger will close sometime within the enxt two weeks, but you won't see any changes in the marketing, etc until October.

 

Way to go. We are about to have a hree way dance in wireless on the national (35 Million plus) level. What is there for T-Mobile to do now?

 

T-Mobile isn't going to do anyting (major). They've said that before, and they made their decision when they decided not to bid for AT&T Wireless, the only significant GSM player that was available. They might buy Suncom (IMO) but that would be their only acquisition. They have added numerous roaming agreements with small GSM providers this year, filling some of the gaps. Indications are that 850 roaming agreements are right around the corner, building on the MN/MI 850 roaming they officially added a few months ago. They are certainly growing just fine. On 6/30/2001 (one month after the VoiceStream and Powertel mergers were complete), the company had about 5.9M subscribers, and when they report Q2 next week (marking 4 years from the date above) they will have in excess of 19M subscribers, and continued profitability.

 

Don't forget they also have Paris Hilton as a customer....or at least had her.

 

If they filled in their coverage holes with massive 850 MHz roaming agreements to rival Cingular's coverage, I would think that could get expensive assuming customers take advantage of it.

Do you think they would raise prices to address these additional expenses?

 

tmobile is really going to need to do SOMETHING to keep competing with sprint/verizon/cingular. buying suncom would be a good idea. i think at the rate they are going that eventually alltel will take the #4 spot and push tmobile back to #5

 

Something that T-Mobile has that the other carrir's don't. Atractive prices/plan packages. They are now the low coast leader. They only need to cover the cities REALLY well. There prices have gone down a litle while no one else has made any really atractive offers. I thinkt hat 4th quater this year as usual they will offer something fantastic (1000 min + Unlimited N&W + maybe 7pm nights. for under 49.99/month). They have gained 14 million customers in 4 years. I wouyldn't count them out just yet.

 

Being a regional carrier, it will take Suncom forever to reach 19 million, let alone pass T-Mobile. That's very remotely possible, especially at the rate they are going.

 

You meant Alltel, right?

Alltel won't pass T-Mobile. They only have licenses to cover about 1/4 of the population (75 million). The 4 majors offer service to over 200 million.

 

IMO, there is no way they will charge for 850 roaming. That would be totally against their marketing. The bottom line is that most T-Mobile customers live in urban and suburban areas, and rarely have a need for 850 roaming. I have never needed it, although for a while (years ago while TM was still building out major cities) there were places I coudl go that woudl not have service). Keep in mind that the roaming won't cover infill areas - weak spots, dead zones, etc., within T-Mobile's footprint. It will cover areas where they offer no service. For the most part, 850 is a marketing issue to make the maps look better. It WILL help some people, some of the time. IF the agreement is made correctly, the increased revenue TM gets by customers who decide to sign up b/c of this increased coverage will be greater than the costs of providing the roaming coverage.

 

At some point there has to be an over lap where Sprint 1.9 has sites that they won't need, particulary as Nextel gives up lower spectrum. Perhaps Verizon will want to fill in with Sprints eventual duplicate sites.

What do you think?

 

I guess they are going to have more like 45 million customers according to the article
PREVIOUS UNSTRUNG NEWS ANALYSIS


Sprint Nextel Preps Wireless BB
08.05.05

Sprint Corp. (NYSE: FON - message board) and Nextel Communications Inc. (Nasdaq: NXTL - message board) are gearing up to provide wireless broadband services in the 2.5GHz spectrum band to at least 30 million Americans in the next six years -- a move that will be music to the ears of the industry’s network equipment vendors.

The declaration was made this week as both companies were given consent by the Federal Communications Commission (FCC) to merge their businesses, creating the nation’s third largest carrier with approximately 45 million subscribers

 

Won't surprise me as Verizon will go after anything and everything they can get.

 

There are two sides ti this particular issue for VZW.

Pro: Sure, we will by PCS spectrum/equipment that is in place from Sprint if the price is right and we need it and they have to divest it.

Con: Why should we in ANY way shape or form help two of our former Enemies as they join forces top take on us???

 

DRU:

I don't see them as former enemies at all, Gee it just business. I have been using VZw / BAMS since day one and they are just a phone company to me.
They are not family. If another guy offers a better service for less money I am gone.

 

I was speaking as if I was the VZW CEO in the first person. Sorry for the confusion.

Basically VZW and Sprint have disliked each other for various reasons for years.