T-Mobile, would be a priority for Sprint. This week, T-Mobile has now chimed in regarding the potential merger. During a recent conference held in New York City, Braxton Carter, the chief financial officer officer of T-Mobile, said that merging with Sprint would be a very sensible decision. Carter went on to say that merger talks would be all but inevitable.
Among the Big Four carriers in America, T-Mobile and Sprint currently sit as the third and fourth largest, respectively, behind industry leaders Verizon Wireless and AT&T. If a merger happens between T-Mobile and Sprint, they would effectively join forces to form a third player that would challenge Verizon and AT&T in the US mobile market.
Carter has suggested as much when he said that a T-Mobile-Sprint merger would allow the combined entity to reach the margin potential that both Verizon and AT&T possess. Moreover, it is no secret that Sprint holds a considerable collection of 2.5 GHz spectrum, something that T-Mobile, or the resulting merged entity, could take full advantage of in trying to improve network quality and coverage. According to Mike Sievert, the chief operating officer of T-Mobile, there is a good possibility of a merger happening between the two carriers, but T-Mobile will only agree to such if it can raise its shareholder value.
President Barack Obama’s administration had discouraged industry mergers, like that potential one between T-Mobile and Sprint, preferring instead to keep the Big Four carriers as they are. But now that President Donald Trump is in power, that could all change.