News
The launch of a fourth mobile carrier could be the makeweight in securing regulatory approval for the long-awaited merger between T-Mobile and Sprint
Google is reportedly in talks with US satellite TV giant, Dish, over the possibility of launching a fourth nationwide mobile carrier in the US, as the Department of Justice continues to wrestle with the decision to allow the $26.5 billion merger of US telcos T-Mobile and Sprint.
The DoJ is believed to be reluctant to grant its regulatory approval for the deal, over fears that it would reduce competition, particularly in the pay as you go sector. One solution to this would be for T-Mobile and Sprint to divest their current pay-as-you-go business units to a newly formed, fourth nationwide carrier.
Reports in the press have suggested that executives from Google and Dish are now involved in formal discussions about the possibility of creating a new US celco to take possession of T-Mobile and Sprint’s newly divested pay as you go assets.
Proponents of the T-Mobile, Sprint merger say that the newly merged entity will inject some much-needed competition into the US mobile telecoms industry, challenging the country’s duopoly of AT&T and Verizon. The chairman of the US’ Federal Communications Commission (FCC), Ajit Pai, has publicly supported the deal, saying that it will allow the US to speed up the rollout of 5G mobile network services.
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US States to block T-Mobile and Sprint merger
T-Mobile and Sprint line up potential buyers for $3bn Boost
T-Mobile and Sprint plot last ditch asset sale to save $26bn merger
