The T-Mobile and Sprint merger talks are officially laid to rest
Back to business as usual.
For the past week, everyone with an ear on the industry has said that plans for a Sprint and T-Mobile merger were done and the whole idea was scrapped and rumors from Japan suggested that Softbank (Sprint’s parent company) head Masayoshi Son ended talks at the end of October.
Today that becomes official, per the T-Mobile Newsroom.
T-Mobile (NASDAQ: TMUS) today announced that it has ceased talks to merge with Sprint, as the companies were unable to find mutually agreeable terms.
T-Mobile says that while the idea of a merger between the two smaller carriers was a compelling idea, it could only happen if there was a clear long-term benefit to T-Mobile shareholders and consumers. We’re not told anything that came out of the talks which would mean it wasn’t in T-Mobile’s best interests, only that the two companies were unable to come to an agreement and T-Mobile will continue on the path they’ve been walking for the past 15 quarters of record growth.
We’re not surprised or saddened by this news, as our opinion has remained that more choice is always better for customers and the industry as a whole. The full, but brief, press release is below in full.
Bellevue, Washington — November 4, 2017 — T-Mobile (NASDAQ: TMUS) today announced that it has ceased talks to merge with Sprint, as the companies were unable to find mutually agreeable terms.
“The prospect of combining with Sprint has been compelling for a variety of reasons, including the potential to create significant benefits for consumers and value for shareholders. However, we have been clear all along that a deal with anyone will have to result in superior long-term value for T-Mobile’s shareholders compared to our outstanding stand-alone performance and track record,” said John Legere, President and CEO of T-Mobile US, Inc. “Going forward, T-Mobile will continue disrupting this industry and bringing our proven Un-carrier strategy to more customers and new categories – ultimately redefining the mobile Internet as we know it. We’ve been out-growing this industry for the last 15 quarters, delivering outstanding value for shareholders, and driving significant change across wireless. We won’t stop now.”