AT&T may divest 40% of T-Mobile USA assets in last bid to win merger approval

By on November 28, 2011 at 11:45 PM.

AT&T may divest 40% of T-Mobile USA assets in last bid to win merger approval

AT&T may propose to divest as much as 40% of T-Mobile USA’s assets in an effort to win approval from the Department of Justice in an upcoming lawsuit against the government agency. The DOJ sued to block the merger on August 31st, when it said “AT&T’s elimination of T-Mobile as an independent, low-priced rival would remove a significant competitive force from the market.” AT&T is planning to divest a lower percentage of spectrum and a higher share of T-Mobile USA’s customers, Bloomberg said Monday. The divestiture may not be enough to add balance to the market, however. “It’s unlikely that the DOJ would allow a big competitor like Verizon to purchase the assets,” Macquarie Securities analyst Kevin Smithen told Bloomberg, which means AT&T may need to rely on smaller regional carriers to pick up the customers and spectrum. More →

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AT&T withdraws FCC application for T-Mobile merger

By on November 24, 2011 at 9:30 AM.

AT&T withdraws FCC application for T-Mobile merger

AT&T said Thursday that it has withdrawn its application from the Federal Communications Commission to acquire T-Mobile USA. AT&T and Deutsche Telekom said they will instead focus on fighting an antitrust lawsuit brought against the proposed $39 billion merger by the Department of Justice. AT&T made the announcement Thursday following the FCC’s decision earlier this week to hold an administrative hearing regarding the purchase. The FCC said it was unsure the acquisition would create jobs, as AT&T has promised. Read on for more. More →

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T-Mobile USA saving cash to keep top execs if AT&T merger passes

By on November 17, 2011 at 11:30 PM.

T-Mobile USA saving cash to keep top execs if AT&T merger passes

T-Mobile USA has been setting aside cash that it plans to use in an effort to keep its top employees on board should AT&T’s proposed $39 billion takeover of the firm gain U.S. regulatory approval. The carrier has reportedly already recorded $64 million in merger-related employee costs during the past two quarters. A spokesperson for T-Mobile’s parent company Deutsche Telekom confirmed to The Wall Street Journal that T-Mobile USA is indeed saving money to keep “top employees on board” after the deal closes. AT&T originally said the deal would close by March 2012, however it recently pushed that date back after the U.S. government filed a lawsuit in an effort to block the acquisition.

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T-Mobile USA revenues slip, contract customers continue to flee in Q3

By on November 10, 2011 at 9:01 AM.

T-Mobile USA revenues slip, contract customers continue to flee in Q3

T-Mobile USA on Thursday announced its results for the third quarter of 2011. The carrier said it added 126,000 net customers during the quarter, an improvement over the net loss of 50,000 customers it reported during the second quarter, but fewer than the 137,000 new customers it added during the same quarter last year. Contract customers continued to flee, however, as T-Mobile reported a net loss of 186,000 contract customers for the quarter. The carrier lost 281,000 contract customers during the second quarter but just 64,000 during the same quarter last year. The number of smartphone customers increased 40% from the same time period last year, however, and T-Mobile now has 10.1 million customers using smartphones on its network. Read on for more. More →

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AT&T’s planned T-Mobile merger will create 96,000 jobs, CWA says

By on November 9, 2011 at 7:15 AM.

AT&T’s planned T-Mobile merger will create 96,000 jobs, CWA says

The Communications Workers of America (CWA) union said on Tuesday that AT&T’s planned $39 billion acquisition of T-Mobile USA will create 96,000 additional jobs in the United States and bring another 5,000 others back from overseas. The union said Sprint and other opponents of the merger are “inappropriately” implying that the deal will actually result in job cuts and says such conclusions, which were reached in a Sprint-commissioned study, are the result of “sloppy research and the inability to distinguish between the change in the number of wireline and wireless jobs.” Read on for more. More →

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T-Mobile myTouch and myTouch Q launching November 2nd for $80

By on October 31, 2011 at 11:45 PM.

T-Mobile myTouch and myTouch Q launching November 2nd for $80

T-Mobile announced on Monday that two affordable Android phones, the myTouch and the myTouch Q, will launch on November 2nd for $80 a piece after a $50 mail-in rebate and with a new two-year contract. The myTouch is equipped with a 3.8-inch display, a 1GHz Qualcomm Snapdragon processor, a 5-megapixel camera capable of recording 720p video and Android 2.3 Gingerbread. The myTouch Q offers a smaller 3.5-inch display but otherwise has many of the same specs. The biggest difference, however, is that the myTouch Q also includes a full slide-out QWERTY keyboard. Both smartphones should provide solid options for smartphone shoppers on a budget this holiday season. More →

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FCC: AT&T failed to address how proposed T-Mobile merger will add jobs

By on October 13, 2011 at 6:25 PM.

FCC: AT&T failed to address how proposed T-Mobile merger will add jobs

Rick Kaplan, chief of the Federal Communication Commission’s Wireless Telecommunications Bureau, sent a letter to AT&T on Thursday asking the carrier to clarify just how the proposed merger with T-Mobile USA will add jobs in the United States. “Our review of the information currently in our record suggests that AT&T’s responses on this issue remain incomplete,” Kaplan said. The FCC is giving AT&T until October 31st to address fully “all plans, analyses and reports discussing the creation or loss of jobs” if the merger is approved. AT&T must also disclose how many T-Mobile USA jobs will be eliminated and show how the merger will affect employment inside and outside of the United States during the next five years. AT&T CEO Randall L. Stephenson argued earlier this year that the proposed merger would be a “net job grower” in the United States. On August 31st, AT&T promised to bring 5,000 jobs back to the United States if the merger is approved, which was the same day the U.S. government filed a lawsuit in opposition of the deal. More →

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Walmart and T-Mobile to launch $30 prepaid unlimited plan on October 16th

By on October 3, 2011 at 10:15 PM.

Walmart and T-Mobile to launch $30 prepaid unlimited plan on October 16th

T-Mobile announced on Monday that it has teamed up with Walmart to offer an exclusive $30 monthly prepaid plan that provides unlimited web and text. The new plan will be available online and in more than 2,200 Walmart stores across the United States. “T-Mobile is thrilled to offer this exclusive, affordable service plan, designed specifically with heavy text and data users in mind, to meet the demand for prepaid, which is expected to double by 2015,” said Amy McCune, vice president of national retail, T-Mobile USA. The plan will come with 100 minutes and additional talk time will cost $0.10 per minute. By October 15th, T-Mobile will offer a total of six prepaid handsets, including one with “4G” support. Read on for the full press release from T-Mobile USA. More →

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T-Mobile takes Samsung’s corner in patent fight with Apple

By on September 29, 2011 at 11:00 PM.

T-Mobile takes Samsung’s corner in patent fight with Apple

T-Mobile USA has issued a statement in support of Samsung in the phone maker’s ongoing legal battles with Apple. T-Mobile said any court actions taken against Samsung preventing the South Korea-based company from selling its devices in the United States would “unnecessarily harm” the carrier. Specifically, T-Mobile is worried that a potential injunction could have an ill effect on holiday sales. “At this late date, T-Mobile could not find comparable replacement products for the 2011 holiday season,” T-Mobile said, according to Reuters. The carrier will begin to offer Samsung’s flagship Galaxy S II smartphone beginning on October 10th and has big marketing plans for that device and the Galaxy Tab 10.1. “While T-Mobile respects intellectual property rights and believes that owners of intellectual property deserve the right to present their arguments and evidence of infringement in court, a preliminary injunction is a drastic and extraordinary measure, and the courts should pay particular attention to its public consequences,” T-Mobile explained in a statement obtained by AllThingsD. Verizon Wireless took a similar stance on Wednesday when it said said an injunction against Samsung would “harm Verizon Wireless and U.S. customers.” More →

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T-Mobile USA CMO issues public plea for Apple’s iPhone

By on September 27, 2011 at 7:15 PM.

T-Mobile USA CMO issues public plea for Apple’s iPhone

T-Mobile’s chief marketing officer Cole Brodman recently published a letter on the company’s official blog addressing customers and discussing the carrier’s view on the iPhone. At first glance, it reads like a simple breakdown as to why T-Mobile doesn’t offer the iPhone. Brodman’s explanation of T-Mobile’s current iPhone situation, however, also reads a bit like a plea to Apple. “Today, there are over a million T-Mobile customers using unlocked iPhones on our network,” Brodman explains. “We are interested in offering all of our customers a no-compromise iPhone experience on our network,” he added, suggesting that Apple and T-Mobile have not been able to reach an agreement that would allow T-Mobile to sell the phone directly. Read on for more. More →

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T-Mobile to offer HTC Radar 4G Windows Phone in time for holidays

By on September 27, 2011 at 1:10 PM.

T-Mobile to offer HTC Radar 4G Windows Phone in time for holidays

T-Mobile announced on Tuesday that it will offer the HTC Radar 4G in time for the holidays. The HTC Radar 4G is a Windows Phone 7.5 device and we recently had a chance to go hands-on with the international version, which we said felt like the “perfect Windows Phone for budget-minded buyers.” It is equipped with a 1GHz Qualcomm Snapdragon processor, a 3.7-inch display, a 5-megapixel camera with a single LED flash, 512MB of RAM and support for T-Mobile’s HSPA+ network. T-Mobile has not yet announced pricing for the HTC Radar 4G. Read on for the full press release. More →

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Heavy with $963,275 in AT&T donations, lawmakers push for T-Mobile merger approval

By on September 21, 2011 at 5:30 PM.

Heavy with $963,275 in AT&T donations, lawmakers push for T-Mobile merger approval

The Department of Justice recently filed a lawsuit against AT&T in an effort to block its planned acquisition of T-Mobile USA, but that has not stopped 100 lawmakers from signing a letter pushing the government to settle the suit and approve the merger. Interestingly, 99 of the House Republicans who signed the letter have accepted political donations from employees of AT&T within the last two years, Bloomberg reported on Wednesday. A total of $963,275 had been donated to these lawmakers, according to the advocacy group Public Knowledge. The donations are still coming in, too. According to Bloomberg, Pete Olson, who already signed the letter, is holding a “Telecommunications Industry Lunch” on Thursday that is “backed by AT&T lobbyists.” Read on for more. More →

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AT&T/T-Mobile merger could put Sprint out of business

By on September 12, 2011 at 2:20 PM.

AT&T/T-Mobile merger could put Sprint out of business


Chitika Insights, Chitika’s research arm, recently proposed the question “What if AT&T and T-Mobile actually merge?” and created a graph of what the wireless landscape in the United States might look like if AT&T’s proposed $39 billion takeover of T-Mobile USA is passed. Chitika concluded there could be calamitous consequences for Sprint and various regional carriers such as Boost and MetroPCS. If the merger is approved, AT&T and T-Mobile will have more than 130 million subscribers and 51% of the U.S. wireless market based on usage, Chitika’s data suggests. “[The] projection shows the immediate impact of the merger, so the smaller network’s share looks unscathed,” the company wrote its blog. “However, the future consequences are dire for the smaller networks because the AT&T/T-Mobile network would be able to dictate market prices.” Sprint and smaller carriers such as MetroPCS and Boost may lose customers to “the greater combined coverage of the proposed behemoth,” too, while Verizon’s usage share would sit at 33%. “If this merger were to pass, it would almost certainly put companies like Sprint, MetroPCS, Boost, and other smaller networks out of business.” Chitika concluded. “Therefore, Sprint’s interference isn’t a surprising move in the least.” Sprint and the Department of Justice have both sued in an effort to block the merger. More →

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