T-Mobile US Inc. and Sprint Corporation have finally come into terms with merging the US’s third- and fourth-largest national wireless carriers. Sprint T-Mobile merger aims to bring the transformative 5G network rollout that would be delivered through a supercharged Un-carrier. The two carrier companies reportedly waited for two years to finally close the deal, which was worth $26.5 billion.
The Sprint T-Mobile merger, however, will operate under the name T-Mobile as the subsidiary of Deutsche Telekom AG DTEGY is still the parent of the combined companies. T-Mobile used to trade the common shares under the symbol TMUS at the NASDAQ Global Select Market and would continue making the trade under the same symbol. The combined company—now with 14 times more capacity than the previous T-Mobile—has assured to provide lightning-fast speeds and reliable connectivity at lower prices.
Sprint T Mobile Merger Update
The merger was rumored for years even before the ex-T-Mobile CEO John Legere officially announced the merger through his Twitter in April 2018. The participating companies then submitted the required application to the Federal Communications Commission on June 18, 2018. It took two years for the Federal Court to officially give the green-lit to the merger even the 14 state attorneys general reportedly opposed the transaction. The state attorneys general believed that the merger would only stack the consumer’s bills and in the long run, would hurt the existing competition.
Sprint T-Mobile merger would directly compete with the nation’s largest mobile carriers— AT&T T and Verizon VZ—in terms of subscribers. The largest carrier in the country, Verizon VZ, has about 150 million subscribers, whereas AT&T T has 141 million subscribers. Now, the combined company has more than 100 million subscribers and will go on increasing due to the broader network connectivity and faster speeds.
The companies had already tried two times before to merge the companies once in 2014 and in 2017. But both of the deal fell apart as both companies’ parent-company couldn’t agree on the amount of control each will receive after the merger.
What’s Next in this Mega-Mobile Merger?
The latest sprint t mobile merger update would see the stepping down of current T-Mobile CEO John Legere. The transition of the company’s COO, Mike Sievert, into the position of CEO has also been completed following the merger.
The merger has also helped DISH Network Corp (DISH) to replace Sprint as the nation’s fourth major mobile carrier. DISH received a seven-year deal to use the combined company’s 800MHz wireless spectrum (previously Sprint’s) to become the fourth major competitor and build its own network. DISH acquired Sprint’s prepaid mobile customers from brands like Boost and Virgin Mobile, and will eventually control over 20,000 cell sites. As long as the seven-year deal exists, the company will have free access to the T-Mobile network.
When Will, The T-Mobile Sprint Merger, Take Effect?
Sprint T-Mobile merger is a go, meaning that the customers of both companies will now share the standard high- and low-band spectrum. The deal was officially closed on April 1, 2020, and from the same day, Sprint customers have been using the nationwide combined network.
However, the new plans, benefits, and pricing for the subscribers of both carriers are still in preparation, and for now, they will continue using their previous plan and benefits. The changes will arrive gradually because the parent company announced that it would take at least three years to completely integrate the two carriers citing the complicated technical procedures and business structure. The issue that is holding the companies to merge totally-is the incompatible networks that both companies older network shared. T-Mobile is based on GSM, whereas the Sprint is based on CDMA, and it will technically take some time for the Sprint to evolve into the T-Mobile ultimately.
What does it mean for the customers of both carriers?
As for now, the customers of both companies will continue to use their respective mobile carriers, but in overtime, the customers will have better networking experience due to the combined supercharged network. The existing rate of plans would also continue to be the same as the parent company has also promised that there wouldn’t be an increase in the consumer’s costs at least for the next three years.
The parent company announced that they are now working on transferring Sprint subscribers, who wish to join T-Mobile. But in the meantime, Sprint subscriber’s access to Hulu and Tidal and T-Mobile subscriber’s access to Netflix will remain at it is—meaning you can continue to take the benefits until your plan ends.
Sprint Corporate Stores
The long-awaited merger finally happened, but with this mega-merger, what will happen to the sprint corporate stores?
The parent company—T-Mobile, confirmed that the existing members of Sprint would continue to get the services from all those 4500 Sprint Corporate Stores located across the nation. After some time, the combined company will work to provide the services for the subscribers of both networks and even to the subscribers of the new T-Mobile. But for now, T-Mobile users wouldn’t get help after entering any Sprint Corporate Stores.