To tackle the rising competition and the dominance of Verizon and AT&T. The two popular U.S. Telecom carriers, T-Mobile U.S. and Sprint Corp could finally merge. Courtesy to Reuters and other reliable folks, we came to know that the deal is close to being finalized after a long term uncertainty.
The amalgamation of the 3rd and 4th largest carriers of the U.S. telecom sector is considered as a potential disruptor of the industry. If everything ends up well, the new merged entrant could combinedly establish nearly 130 million subscribers initially. However, still not enough to displace the 1st and 2nd position holders – Verizon and AT&T respectively from their reign.
Moreover, the transaction registers Japan’s SoftBank Group Corp – The control of Sprint, to own 40-50 percent of the combined company. Whereas, the T-Mobile’s major owner Deutsche Telekom shall own a majority stake: adds the sources.
Limitations and difficulties in harnessing 5G technology is believed to be the driving force of this merging. Nevertheless, once all the paper works are over, the unification is expected to happen by the end of October.