If Sprint buys T-mobile what happens?

What can we expect to happen if Sprint buys T-mobile?

Both companies known for their customer loyalty and fair billing.
They are both known for their loss of signal.
What is also known is that they both are on different networks.
Sprint is CDMA and T-mobile is GSM. Two different networks.

So there is no chance of merging the networks and making a tweak to either one and increasing the size of the cell network.
So it would have to be one or the other. Which means one network is about to take on the load of the other network.

If life had rules maybe. There is a chance they give customers the choice and just maintain both networks. Which sounds like madness if you expect Sprint to fire off every single T-mobile employee. Which lots of companies seem to eventually do. but not if Sprint keep both signals

AT&T to buy Tmobile

Called Tmobile to make a payment. The automated voice on the line stated to go to tmobile.com to read about the merger of AT&T and T-Mobile

 

Deutsche Telekom to receive 39 billion USD for T-Mobile USA

Deutsche Telekom: U.S. Deal Accelerates Own Transformation

Dallas, Texas and Bonn, Germany — Mar. 20, 2011 PDT

AT&T T-Mobile

 

  • Deutsche Telekom to receive 39 billion USD for US-business
  • Deutsche Telekom to have up to 8 percent stake in the leading US telecommunications company
  • AT&T takes over US mobile business from Deutsche Telekom
  • Deutsche Telekom will receive 25 billion USD in cash and 14 billion USD in AT&T shares
  • Attractive multiple of 7.1 times 2010 adjusted EBITDA
  • Deutsche Telekom plans to use approximately 5 billion EUR for share buybacks
  • Deutsche Telekom net debt is planned to be reduced by approximately 13 billion EUR or 31 percent

Deutsche Telekom will take an approximately 8 percent stake in US telecommunication company AT&T. At the same time Deutsche Telekom will hand over 100 percent ownership of T-Mobile USA to AT&T. This has been agreed by the boards of the two companies today. AT&T will pay 25 billion USD in cash for T-Mobile USA, in addition to 14 billion USD in AT&T shares. AT&T has the right to increase the portion of the purchase price paid in cash by up to 4.2 billion USD with a corresponding reduction in the stock component. The value of the transaction will be 39 billion USD. This will amount to an attractive multiple of approximately 7 times 2010 adjusted EBITDA. The merger still needs US regulatory approval. The closing of the transaction is expected to be completed in first half of 2012.

 

René Obermann, CEO Deutsche Telekom: We have achieved the best solution for our company, our customers and shareholders. This will strengthen our position in Europe, whilst we are still participating in the rapidly growing business of mobile data. We will be able to focus more on the opportunities of a modern infrastructure in Germany and Europe, as well as in Internet products that accompanies to our strategy “fix, transform and innovate”. Following our initiatives of finding a solution for our activities both in the United Kingdom and Poland, we have with this transaction nearly accomplished the “fix” part of our strategy. We will now focus our resources more on the “transform” and “innovate” blocks of our strategy in order to accelerate the transformation of Deutsche Telekom.”

 

Timotheus Höttges, CFO Deutsche Telekom: “As the biggest single share holder of AT&T we will also significantly benefit from their strong dividend. With the excellent result of this transaction we will be able to continue to develop our company. At the same time we will be able to reduce our debts and initiate one of the biggest share buy back programs in both Germany as well as in the European telecommunication industry.”

 

Deutsche Telekom is planning to reduce its debt by approximately 13 billion EUR. Approximately 5 billion EUR are planned to be used for share buybacks after closing and required resolutions in accordance with the legal requirements.

Randall Stephenson, CEO and Chairman AT&T: “This transaction delivers significant customer, shareowner and public benefits that are available at this level only from the combination of these two companies with complementary network technologies, spectrum positions and operations. We are confident in our ability to execute a seamless integration, and with additional spectrum and network capabilities, we can better meet our customers’ current demands, build for the future and help achieve the President’s goals for a high-speed wirelessly connected America.”

 

For Deutsche Telekom the transaction after closure will provide amongst others a consolidation of the balance sheet. Pro forma the ratio for net debt to adjusted EBITDA in 2010 will be reduced to 1.9x from 2.2x, a reduction of 31 percent.

 

There will be no change regarding the shareholder remuneration policy which has been set for three years. As has been provided within the legal guidelines, Deutsche Telekom will continue with its plans to pay out 3.4 billion EUR on an annual basis consisting of a minimum dividend of 70 cents plus share-buybacks. The share buybacks amounting to approximately 5 billion EUR, which are planned after the closure of the transaction, will come on top of this.

 

The Guidance for 2011 remains unchanged. For the financial year 2011 Deutsche Telekom expects an adjusted EBITDA of around 19.1 billion EUR. The free cash flow is expected to be stable to slightly growing from the 2010 level of 6.5 billion EUR.

Deutsche Telekom is to receive one seat on AT&T’s Board of Directors.

 

Morgan Stanley acted as lead financial advisor and issued a fairness opinion to the supervisory board of Deutsche Telekom. Deutsche Bank and Credit Suisse acted as financial advisors for Deutsche Telekom.

 

Deutsche Telekom was advised by Wachtell, Lipton, Rosen & Katz (M & A, N.Y.C) as well as Cleary Gottlieb and Wiley Rein (antitrust and regulatory law, Washington D.C.).

Media Relations
T-Mobile USA
425-383-4002

MediaRelations@T-Mobile.com

About Deutsche Telekom

Deutsche Telekom is one of the world’s leading integrated telecommunications companies with around 129 million mobile customers, approximately 36 million fixed-network lines and more than 16 million broadband lines (as of December 31, 2010). The Group provides products and services for the fixed network, mobile communications, the Internet and IPTV for consumers, and ICT solutions for business customers and corporate customers. Deutsche Telekom is present in over 50 countries and has around 247,000 employees worldwide. The Group generated revenues of EUR 62.4 billion in the 2010 financial year – more than half of it outside Germany (as of December 31, 2010). For further information on Deutsche Telekom, please visit www.telekom.com/media

 

 

 

About AT&T

AT&T Inc. (NYSE:T) is a premier communications holding company. Its subsidiaries and affiliates – AT&T operating companies – are the providers of AT&T services in the United States and around the world. With a powerful array of network resources that includes the nation’s fastest mobile broadband network, AT&T is a leading provider of wireless, Wi-Fi, high speed Internet, voice and cloud-based services. A leader in mobile broadband and emerging 4G capabilities, AT&T also offers the best wireless coverage worldwide of any U.S. carrier, offering the most wireless phones that work in the most countries. It also offers advanced TV services under the AT&T U-verse® and AT&T │DIRECTV brands. The company’s suite of IP-based business communications services is one of the most advanced in the world. In domestic markets, AT&T Advertising Solutions and AT&T Interactive are known for their leadership in local search and advertising.

Additional information about AT&T Inc. and the products and services provided by AT&T subsidiaries and affiliates is available at http://www.att.com

So….. What happens to the Android phones that only T-Mobile had?
I know that AT&T and TMobile are both GSM phone companies. but, will AT&T force us Tmobile users to switch to one of their phones? are they going to charge us again like they did back when AT&T took over primeco? I mean they didn’t charge me but AT&T took away my $139 phone and gave me a $29 because that is about how much AT&T said my phone was worth to them.

On the plus side, this may actually mean that AT&T finally will have a decent signal. I do know that for the 3 years I have been back with T-Mobile, I have not yet had one dropped call. How likely is it that AT&T fixes their budget and shuts down a few cell towers to bring in the new towers from T-mobile. Leaving AT&T with the same number of towers they already had?

Just so I don’t get too far from the News side of this, I took this elsewhere.
Things to think about  AT&T and T-Mobile Merger

Still using an HTC G1 Phone

Still using my htc g1. Been a great phone. Onboard memory storage sucks and battery life sucks, but the operating system works great and beat my other phones. Makes my moto and my blackberry look like calculators. The display is large and the keyboard is great for my thumbs.
Will be getting a new droid phone by december 2011, unsure wich one yet though.
How is the g2??? Anyone know?
What android phone is a good step up from the g1?

Posted via Android. Dont mind the typos. I’ll fix them later.

Cell Phone Wars – Poll

Curiosity is setting in at the TruXterTech camp. as to what Cell phone operating system do you feel gives you the most abilities that you like.
Rim- Research in Motion from Blackberry
Apple – Iphone
Android- Android/Google
ISA – Nokia OS
Windows- Microsoft
[poll id=”2″]
This isn’t a poll of phone manufacturers, it’s more of a poll of phone operating systems. If you could use any operating system on your phone, what operating system would you prefer?
If your cell phone/ Smart phone could run any cellphone operating system, what would be your end choice in phone software?

“Blapkmarket” pirated app Shut down

This news is from TechCrunch
I do not understand some of the stupid fees people charge for some of the aps they sell.
I mean many people have completely justifiable fees for their software. Because they thought of something totally new to solve a problem they have been facing.
but have you tried a pdf reader yet? IMHO, the only people who should be able to charge for a pdf ap, are the ones who first created pdfs. I think it would be best if Foxit just made a free pdf reader for droid and made it available, to kill out all of the jerks charging for pdf readers. same thing for open office. Why is it that someone other than the inventors of excel, can charge for a program that reads excel files? IMHO that is pirating.
How about the hundred pay version of fake snake and pacman ?
If it is fake and not the inventor, why can this guy who compiled it (cloned for droid or what ever you call it) can charge for it? is that not plagiarism ?

but I did find one guy who made a voltage drop calculator, now that dude had a task and wanted to make it easier. He should get paid for his works, and get a gold medal!! lol.
I would bet that most of the people who’s “works” got pirated, can’t really press charges, because their stuff is a rip off of someone else’s work.

I do think it’s good the pirating site is down. because of all of the legit software, it needed to be shut down. I do have to say though, that almost everything I have tried to install on my phone that I needed, was trials for software that is a rip of some other software. Of course I did not install even the free trial.