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Deutsche Telekom in talks with MetroPCS over T-Mobile USA

Written by Andre Yoskowitz @ 09 May 2012 12:42 User comments (1)

Deutsche Telekom in talks with MetroPCS over T-Mobile USA T-Mobile USA parent Deutsche Telekom is currently in serious discussions with MetroPCS in regards to a merger, sale or other transaction.
The company is considering a "stock-swap transaction that would give the German company control over the combined entity, which would be publicly listed. A second option is for T-Mobile to go public and third option is an outright sale of T-Mobile USA to MetroPCS.

Telekom has been looking to dump T-Mobile USA for over a year, and its $39 billion sale to AT&T last year was blocked by the US Department of Justice.

Despite cheaper prices and a fast network in metro areas, the carrier has been losing contract subscribers to bigger rivals AT&T and Verizon and there has been little stoppage to the exodus.

MetroPCS, a smaller but growing competitor, has been desperately seeking assets from the majors, and would welcome an infusion of customers or spectrum.



T-Mobile USA has 33 million subscribers but lost 1.65 million last year as rivals like Verizon gained over 2 million.

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1 user comment

19.5.2012 17:50

I just don't understand the mentality of one to switch from a viable and significantly less expensive service like T-Mo to switch to a shady and untrustworthy company like Verizon......or an over priced behemoth like ATT. Some people make their decisions without a thought and those that do this are no different. They should never be allowed to make decisions for someone else though.

This message has been edited since its posting. Latest edit was made on 09 May 2012 @ 5:51

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