Sprint And Dish Have A Greater Risk Than T-Mobile If The Deal Is Blocked

Both the FCC and the Department of Justice (DOJ) have agreed to allow T-Mobile and Sprint to sign their $26.5 billion merger. And Dish Network is preparing to replace Sprint as the fourth largest network-based network competitor in the country, shaking hands with an agreement to purchase Sprint’s prepaid business (Boost Mobile, Virgin Mobile and branded service from Sprint) and some operators. 800MHz spectrum. But this persistent obstacle remains; A lawsuit brought by the attorneys general of various states and Washington D.C. try to block the deal. Unless an agreement can be reached, the merger cannot be closed until the process ends. And now the trial has been postponed to December 9th from the original October 7th start date.

New Street Research analysts say that when it comes to the next test, Sprint and Dish are at high risk. The three companies will benefit from a verdict in their favor, but things differ if they lose the case. All the information needed to prove it was released last week; T-Mobile recorded another surprising quarter with 710,000 net additions of postpaid phones. Sprint, on the other hand, lost 128,000 post-paid telephone connections during the same three-month period. Therefore, T-Mobile continues to dominate the industry when it comes to generating new business and Sprint is disappearing without a fight. The juxtaposition between the two wireless providers makes it clear that T-Mobile does not face the same risk as Sprint if state prosecutors win the case.

The Texas attorney general, a Republican, recently joined the cause, noting that it is unlikely that Dish will immediately replace Sprint as a major airline. “We do not anticipate that the proposed new entrant will replace the competitive role of Sprint anytime soon,” said Paxton. But some see a hidden motive in Paxton’s recent addition to the cause; AT&T is headquartered in Dallas and it is assumed that the company induced Paxton to try to stop the merger. Now that Dish is involved, AT&T may be worried about DirecTV and DirecTV Now, as Dish outperformed both additions during the second quarter. But New Street analysts wrote: “We have not seen any evidence that AT&T intervened to convince him (Paxton) to join the suit. We do not know of any case in which evidence of a competitor’s opposition proved decisive, or even material, in an antitrust trial…” In other words, analysts do not believe that AT&T objections influence the court in one way or another.

T-Mobile Expects To See The FCC Auction Outside The Mid-Range Spectrum In The Range Of 3.7-4.2 GHz

The company has agreed to spend $5 billion and collect the aforementioned wireless assets from Sprint. But you’ll have to spend billions more to build your independent 5G network, create a retail network and market your new service. The satellite content provider will also have a seven-year MVNO agreement with T-Mobile that will allow Dish to sell wireless services to consumers under their own name while using the national T-Mobile pipeline. According to reports, Dish has agreed to cover 70% of the nation with 5G by 2023.

There is no doubt that T-Mobile craves the treasure of the 2.5 GHz broadband Sprint to become the “flesh” in its 5G sandwich. The spectrum of the carrier’s low-band 600MHz vector and its high-band wave mmWave waveforms are the overview. T-Mobile recently ran a successful test in which it completed a 5G data session using its 600 MHz spectrum using radios provided by multiple providers. If state attorneys general prevails in the case, T-Mobile could continue to put pressure on the FCC to increase some of the average band spectrum in the range 3.7-4.2 GHz (C-band). As its low-bandwidth spectrum travels farther and penetrates buildings better than mid- and high-end radio waves, T-Mobile expects to be the number one wireless operator in the US. Offering its customers access to a 5G network nationwide.

(Via: Fierce Wireless)

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