Just one day after SoftBank CEO Masayoshi Son attacked the Dish Network over its plan to buy U.S. wireless carrier Sprint, Dish chairman Charlie Ergen hit back by saying that Sprint would benefit by being owned by an American company and not by a foreign company such as the Japanese SoftBank. Reuters reports Ergen said that in addition to offering a higher price for Sprint, Dish would be the best choice to run Sprint because “we are an American company and the modernization of Sprint’s network will have to be done from the U.S.” More →
SoftBank chief executive Masayoshi Son has said that his company will not increase its bid for Sprint because it is already offering the better deal than Dish. Masayoshi believes that Dish Network’s competing offer for the company will delay the carrier’s turnaround and leave it riddled with debt, The Wall Street Journal reported. He noted that SoftBank has experience in the telecommunications industry, unlike Dish, which will prove useful in helping Sprint return to profitability. Dish claims that its $25.5 billion bid offers a premium over SoftBank’s proposal, however the executive said that belief is “totally wrong” and “incomplete and illusory.” More →
Although Japanese carrier SoftBank has been courting Sprint for the past several months, it’s apparently willing to let the carrier see other companies. Sprint announced on Monday that it had received “a waiver of various provisions of the merger agreement” with SoftBank so that it can enter into a non-disclosure agreement and discussions with Dish to learn more about its competing merger proposal. Sprint may not enter into negotiations with Dish under the waiver, nor is it allowed to give Dish any non-public information. Instead, the point of the talks is to decide whether Dish’s offer represents a better deal for the company that would give it ample reason to break off its merger with SoftBank.
If Sprint was hoping that Dish’s merger offer would get rival suitor SoftBank to up its bid, it may come away disappointed. An unnamed SoftBank executive tells Bloomberg that the company has no plans to sweeten its offer and instead “will focus on its existing plans” for acquiring the company. As it stands now SoftBank’s $20.1 billion offer is significantly less than the $25.5 billion offer that Dish proposed earlier this week. Sprint has formed a special committee to take a look at Dish’s offer and Dish has asked the Federal Communications Commission to hold off on approving the proposed SoftBank merger until Sprint executives have had the opportunity to evaluate the competing offer.
SoftBank doesn’t appear to be worried about Dish Network’s recent bid for Sprint. The Japanese carrier said in a statement to AllThingsD that it believes its proposed merger offers a superior option to Sprint shareholders with both “short and long-term benefits to Dish’s highly conditional preliminary proposal.” Dish on Monday challenged SoftBank’s merger proposition with a bid of its own worth $25.5 billion. The proposed deal values the carrier at $7.00 per share, considerably higher than SoftBank’s offer of $4.03 per share. Despite the higher bid, SoftBank remains confident and said that it expects the transaction to be completed by July 1st.
Sprint (S) and Japanese carrier Softbank (SFTBY) have confirmed to U.S. lawmakers they won’t use equipment from Huawei following their upcoming merger, Bloomberg reported. Softbank announced plans last October to pay more than $20 billion to acquire a 70% stake in Sprint. The deal was approved by the board of directors at both companies and was awaiting the green light from the Federal Communications Commission. More →
The United States Department of Justice has asked the Federal Communications Commission to defer the planned merger between Sprint (S) and Japanese carrier Softbank (SFTBY), according to Bloomberg. A deferment will give the department more time to review the proposal for “any national security, law enforcement, and public safety issues” that have not yet been evaluated. Sprint agreed to merge with Softbank last October in a deal worth more than $20 billion. Both companies had hoped to have the merger approved by mid-2013.
Softbank (SFTBY) CEO Masayoshi Son may hail from Japan, but he’s already showing a cowboy-like swagger that will help him fit right in here in America. Per CNBC’s Jim Cramer, Son said that one of the reasons why his company bought up Sprint (S) for $20 billion was that “I am a man, and every man wants to be number one, not number two or number three.” Softbank on Monday formally announced that it will pay just north of $20 billion to acquire a 70% stake in Sprint, which has long been languishing as the third-largest wireless carrier in the United States. More →
It’s official: Sprint (S) is getting bought up. Japanese wireless company Softbank (SFTBY) announced on Monday that it will pay just north of $20 billion to acquire a 70% stake in Sprint, which has long been languishing as the third-largest wireless carrier in the United States. As for specifics, Softbank says that $12.1 billion will be paid directly to Sprint’s shareholders while $8 billion will go toward strengthening Sprint’s balance sheet. The $20 billion deal has been approved by the boards of directors at both Softbank and Sprint, although the two companies still need approval from Sprint shareholders and the Federal Communications Commission. The Softbank deal could be a huge boost for Sprint since Softbank has a strong history of turning around smaller wireless carriers to compete with telecom giants.
NTT DoCoMo, KDDI and SoftBank have created the “Japan Mobile NFC Consortium,” which will help the three carriers coordinate and adopt an international NFC standard. Currently, all three operators offer an NFC service dubbed Osaifu-Keitai (wallet phone) which uses a contactless-IC smartcard that’s called FeliCa. Unfortunately, the technology doesn’t work overseas where other carriers use Type A or Type B NFC standards, which means Osaifu-Ketai won’t function properly for NTT DoCoMo, KDDI or SoftBank customers hoping to use their phones for mobile payments overseas. The three carriers hope they can work with handset makers and vendors to encourage the adoption of Type A and Type B NFC standards. The consortium also aims to “create an environment in Japan where service providers can offer efficient, low-cost NFC services based on common standards and rules adopted by the three mobile operators.” The full press release follows after the break. More →
With near field communication technology shaping up to be the number one new feature on handsets and mobile devices starting next year, a Japanese carrier is already planning on releasing limited NFC functionality to the iPhone 4. Softbank is set to debut a NFC sticker or “seal” which will cover almost the entire rear of the device without preventing the use of Apple’s Bumper cases. While the NFC sticker doesn’t appear to interact with the iPhone in any way, it will reportedly allow iPhone 4 users in Japan to interact with some of the most common mobile payment solutions. The NFC sticker is made of polyurethane, is 0.5 ounces in weight, and should be available for $36 starting in February from Softbank in Japan.
[Via MacRumors] More →
In an interview with the Nikkei Business Daily, NTT DoCoMo’s president Ryuji Yamada revealed that Japans’s largest wireless carrier may go SIM-Free in 2011. The move would allow customers to easily switch to and from NTT DoCoMo by merely swapping out a SIM. With its quality network, and soon-to-be unlocked handsets, NTT DoCoMo is hoping to snag customers from rival Softbank which has a slight competitive advantage over its larger rival by being the exclusive carrier of the iPhone in Japan. The Nikkei responded favorably to this news with shares of NTT DoCoMo up a moderate 1.68% at the writing of this post. More →