T-Mobile, Sprint merger review widens in California

8 October 2018 by Steve Blum
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It seems someone jumped the gun at the California Public Utilities Commission, and prematurely sent out a ruling defining the scope of California’s regulatory review of T-Mobile’s proposed purchase of Sprint. On Thursday, the commissioner in charge of the inquiry, Clifford Rechtschaffen, issued an amended version of the “scoping memo” he released the week before, saying the first one “was mailed in error”.

There are several wordsmithing changes in the updated version, and a few that are more substantive.… More

California’s regulatory review of T-Mobile-Sprint deal has light years left to run

29 September 2018 by Steve Blum
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The proposed purchase of Sprint by T-Mobile will get a thorough workover by the California Public Utilities Commission, and a final decision on whether or not to allow it won’t come until next summer. The commissioner running the review, Clifford Rechtschaffen, laid out the issues that he’ll investigate in a ruling on Friday.

Rechtschaffen had to decide how wide ranging his inquiry will be. Sprint and T-Mobile wanted it to be very narrow, and focus on two particular issues: could a relatively small Sprint subsidiary that does some wireline business in California be sold to T-Mobile, and could T-Mobile take over Sprint’s California mobile carrier registration.… More

T-Mobile’s takeover of Sprint challenged in California

20 August 2018 by Steve Blum
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T-Mobile’s plan to buy its smaller competitor, Sprint, faces formal opposition in California. The California Public Utilities Commission’s office of ratepayer advocates and a pair of consumer advocacy groups filed formal protests to the merger, claiming, among other things, that it runs afoul of anti-trust principles and would result in a significantly less competitive mobile telecoms market.

The deal has to be approved by the CPUC, but the scope of that review is limited. So far.… More

T-Mobile’s purchase of Sprint has to clear a Californian hurdle

27 July 2018 by Steve Blum
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T-Mobile, the third largest U.S. mobile carrier, needs the California Public Utilities Commission’s blessing to buy Sprint, the fourth largest. Sorta.

The Federal Communications Commission has jurisdiction over mobile carriers and is doing the heavy lifting in the regulatory review of the transaction. But Sprint has a subsidiary – Sprint Communications Company, or “Sprint Wireline” as it’s referred to – that sells services to business customers in California. As a result, the company has a certificate of public convenience and necessity (CPCN) granted by the CPUC, and needs its approval to transfer ownership to T-Mobile.… More

T-Mobile, Sprint combo is anti-competitive, but that’s the feds’ call

1 May 2018 by Steve Blum
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The $26.5 billion dollar proposed purchase of Sprint by T-Mobile can’t go forward unless it’s given a pass by anti-trust watchdogs. As a practical matter, that means the federal justice department’s anti-trust unit sits on its hands and doesn’t challenge it in court, and the Federal Communications Commission signs off on the license transfers involved.

In theory, the California attorney general could jump in. In practice, that’s unlikely. So let’s set it aside for now. Unless there’s some obscure wireline telephone asset involved – anything is possible, but I don’t think so – the California Public Utilities Commission isn’t in the game either.… More

T-Mobile, Sprint about to turn U.S. mobile market into a threesome

29 April 2018 by Steve Blum
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Update: the deal is done.

The competitive mobile broadband market might not be as red in tooth and claw in the near future. According to several media outlets, T-Mobile and Sprint, the number three and four mobile carriers in the U.S., are on the verge of announcing a merger. It’s the second time they’ve gone down this path. According to CNBC, this time it’s because the competition is too much for the smaller Sprint…

Talks most recently broke off late last year after SoftBank CEO Masayoshi Son decided he didn’t want to lose control of a combined company.

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Big telecoms mergers could test Trump's anti-trust chops

10 August 2017 by Steve Blum
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There’s a lot of sniffing around telecoms companies in these dog days of summer. Softbank, Japanese tech investment giant which owns Sprint, is reported to be sniffing around T-Mobile, with a merger in mind. If it happened – if regulators allow it to happen – it would take the U.S. mobile telecom sector down to three companies, from the current four.

Charter Communications is getting a lot of attention, too. Softbank first tried to engineer a merger, and when that failed began talking about buying the company outright.… More

T-Mobile leads 600 MHz auction, DISH slips easily in behind

16 April 2017 by Steve Blum
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T-Mobile is the big winner, or at least the big spender, in the Federal Communication Commission’s $20 billion incentive auction, walking away with more than half the 600 MHz band licenses up for grabs – 1,525 licenses, 55% of the total. Second place went to DISH, which paid $6.2 billion for 486 licenses, 18% of the total.

Who came in third depends on how you’re figuring it. Comcast bid the third most money – $1.7 billion – but ended up with only 73 licenses, a mere 3%.… More

5G for fixed service is so ordinary says T-Mobile

28 January 2017 by Steve Blum
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It’s like I said, their view never changes.

There’s a war of words between T-Mobile and its larger competitors, AT&T and Verizon, over using advanced mobile technologies – 5G is the undefined buzz word – as a DSL replacement to provide fixed Internet service to homes and businesses. Neville Ray, T-Mobile’s chief technology officer, says 2017 isn’t the year to get excited about 5G, particularly AT&T’s and Verizon’s version of it

No one’s more excited about this brilliant technology than I am.

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Yuge telecoms companies expect to get yuger

19 January 2017 by Steve Blum
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Big money is leaning in the direction of a permissive, rather than populist, Trump presidency, at least when it comes to big telecoms mergers. AT&T CEO Randall Stephenson met with Trump last week. Although both AT&T and Trump’s team insist that the pending acquisition of Time Warner wasn’t discussed, Stephenson continues to project optimism that federal regulators – the justice department’s anti-trust unit and, possibly, the Federal Communications Commission – will allow it to go forward.… More