Att Buys Tmobile

March 20, 2011 by USA Post 

Att Buys Tmobile, It’s not much of a lazy Sunday for the good people in Dallas and in Bonn, Germany. In what certainly feels like the kind of blockbuster-deal-out-of-left field we have not seen for some time, AT & T announced its $ buys T-Mobile, the No. 4 U.S. mobile operator owned by Deutsche Telekom.

The companies said the deal is valued at a huge 39 billion – and $ 25 billion in cash and the remainder in stock AT & T, subject to adjustments. And it will be long and winding, like most telecommunications mergers tend to be. Companies said they expect the agreement to take a year to get to the finish line.

T-Mobile in recent weeks has been involved in chat again, but from a different suitor: Sprint Nextel. If this deal happens, Sprint seems to be in a more vulnerable position.

Deal Journal is the decoding release the new joint companies, which used to sell the business to shareholders and regulators, who pores over any agreement that leaves fewer players standing in the market for wireless and mobile broadband.

* From the wireless spectrum: companies obsessed with sufficient bandwidth to cope with all the videos, e-mailing and Web surfing that we do on a band more and more mobile devices. The world today has heard endless jokes about AT & T network problems with the iPhone. In their statement, the companies said a merger would provide “timely, effective and certain solution to the imminent exhaustion of wireless spectrum in certain markets, which limits the ability of both companies to meet the explosive demand for high current Mobile Broadband. ”

* G: The companies said in combination, they can accelerate the deployment of a wireless standard called next-generation LTE. Quickly make the 4G mobile Internet service to more Americans has been a priority of the White House of Obama, and businesses are a nod to the wishes of their friends in Washington. AT & T $ said he is committing to “expand significantly robust 4G LTE deployment … to percent of the population of the United States to reach an additional 46.5 million beyond current plans Americans – including rural communities and small towns. This contributes to the achievement of the Federal Communications Commission (FCC) and the objectives of President Obama to connect “all parts of America in the Age digital. ”

* Synergy: Merging old saying. Code, expected job losses and other major economies so that we can justify this agreement on Wall Street. Expect lots of talk about synergies. But for now, companies stress that they want and need the cooperation of workers of both companies: “AT & T intends to tap into the knowledge and expertise important held by employees of both AT & T and T-Mobile USA to succeed, “the news release said.

* Competition: Companies have a hard road to prove to regulators a combined & TT-Mobile will not have too much power to control prices wirelessly. “The U.S. wireless industry is one of the most fiercely competitive markets in the world and will remain so after this agreement,” the companies argued in their statement. “This intense competition is increasing with the establishment of new G networks and the emergence of new market players.”

* The wireless service will be great: quite a few promises to consumers. “AT & T and T-Mobile USA customers will see service improvements – including improved voice quality – a result of additional frequencies, increased density of cellular towers and network infrastructure more broadly.”

* Integration: AT & T CEO Randall Stephenson said the company is “confident in our ability to management seamless integration” – a task that is never easy between companies with huge labor force, subscriber rolls and giant complicated pieces of technology. Look no further than Sprint, which is still struggling with the hangover from 2005 back to Nextel. But AT & T $ has done this before, quite successfully, and its 85 billion deal with BellSouth in 2006 – one of the largest mergers of all time.

* To Wall Street and AT & T shareholders: AT & T said the deal will start padding his income, excluding certain items such as integration costs and amortization in the third year following the Closing of the transaction. AT & T $ also noted it has enough cash to continue paying its dividend.


Report to Team

Please feel free to send if you have any questions regarding this post , you can contact on

Disclaimer: The views expressed on this site are that of the authors and not necessarily that of U.S.S.POST.


Comments are closed.