We all know what the merger between AT&T and T-Mobile is all about, right? Well, the Department of Justice does not like it, but many, many others support. The deal was getting support from major companies, small companies, congressman, senators and others. There really was just a lot of information up in the air about the $39 billion deal that would make AT&T the largest cell phone carrier in the United States. Since March, the story has been peppering news headlines and it really seemed like the deal was going nowhere. Some analysts think that if the deal does not go through, T-Mobile is likely to be split into many pieces for other companies to purchase.
T-Mobile has a very good following and any other company that is looking to get into a new market, would be first in line to purchase a piece of the T-Mobile pie. Companies like US Cellular, MetroPCS and Leap Wireless are all in the market for picking up more subscribers. These companies would grow a bit and this would in turn offer customers more choices when it comes to wireless carriers. None of the three companies were available for comment on the situation. With the push that AT&T have in the industry you would think the deal would just fly through regulation, but a lawsuit filed this week might have put a stop to that in a hurry.
T-Mobile is doing their best to stay competitive, but experts are saying the company is less likely to stay in the United States as they watch their subscriber numbers filter off to larger companies and smaller companies offering better deals on phones and contracts. T-Mobile has been issuing price cuts and promotion after promotion just to keep interest in the company, but the deal with AT&T just seemed like the only thing keeping them from becoming dead in the water.
Over the next couple months, experts think that price competitions are likely to begin among the retailers in hopes of gaining more subscribers and boost sales through the holiday shopping season. This tactic will give the company a short term gain, but it might be enough to bring interest should the AT&T deal not get approved. Consumers will win no matter what the situation, but even more so if the competition heats up and all companies are forced to cut prices.
September 10, 2011 at 11:00 pm
Disagree. T-Mobile customers lose either way.
DT has stopped investing in our network and it’s short term 4G lead is being eclipsed in size and quality by other carriers.
With T-Mobile’s employee base in continual limbo now and even more so if the buyout fails (as DT finds another suitor or group of suitors) customer service is getting worse and employee turn over is rising. Morale is down for everyone.
Manufacturers who make phones specifically designed for T-Mobile’s 4G network will have little incentive mass producing any hot phones under the fear that the company may not be around to support the hardware subsidies.
T-Mobile USA and their customers lose either way. AT&T may be the best option. T-Mobile doesn’t compete as it is with them and they are losing subs to them every day.
September 14, 2011 at 7:30 pm
+1, Danny. Deutsche Telekom has made it pretty clear they want out of the U.S. T-Mobile as it now exists is going to go away. Period. No matter how much we like it now (and I’m one of the ones who really likes it now). It’s just a matter of how bad we’re going to lose. I’d rather be part of a larger international network than see T-Mobile sold off in pieces to a variety of much smaller companies (and yeah, I have been an AT&T subscriber before, so I’m well aware of all the problems that will go along with that). Sucks to be us (current T-Mobile subscribers, that is)