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I would LOVE to hear the logic behind this thought.
On the subject of the merger, this new AT&T will have approximately 50% of all mobile subscribers in the US, not enough to be a considered a "monopoly".
AT&T agrees to buy T-Mobile from Deutsche Telekom for $39 billion!
- Thread in 'General' Thread starter Started by iheartboost,
- Start date
On the subject of the merger, this new AT&T will have approximately 50% of all mobile subscribers in the US, not enough to be a considered a "monopoly".
whyhellothere
Banned
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lol wut?
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Damn reading mad different message boards and comments AT&T is getting --tted on like crazy
. I was with Tmobile when they were Voicestream an was loyal customer to them for 10 years up until 3 days ago. Hate to see a good company get tarnished...yeah Tmo's coverage wasn't the greatest but their customer service was impeccable and I never had the problem of dropped calls. They were for the people who wanted affordability but looking like R.I.P now.
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I've been with T-mobile for a couple of years.. I'm surprised that a lot of people here actually like T-mobile.
There would be times my phone would have no service at all and my friends would have full bars on at&t, verizon, sprint, etc.
There would be times my phone would have no service at all and my friends would have full bars on at&t, verizon, sprint, etc.
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Sidekick owners are takin' L's left and right.
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Will Ninjahood cop the iSidekick?
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Wow.
Cellular phones = Serious business
Cellular phones = Serious business
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WOW and the worst timing for my phone(tmo) to be acting up. Im supposed to be calling them to get it fixed but now ill never get through the line cause cats gon be blowin up their phone lines calling asking about this change. FUUUUUUU
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AT&T-Mobile
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speak for yourself android phones been killing any iphone that has come out in the few yearsOriginally Posted by raptors29
Originally Posted by Mr Anleu
Clearly you don't know what a monoply is because you realize that Verizon still has as many if not more subscribers than ATT & TMobile?
A lot of people don't understand what a monopoly is. iPhones for everyone though!
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If they mess with my plan in any way I'm going to Verizon. I'm not happy with tmobiles garbage data service already but their customer service and prices are on point so I stay.
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Originally Posted by 200biz
speak for yourself android phones been killing any iphone that has come out in the few yearsOriginally Posted by raptors29
Originally Posted by Mr Anleu
Clearly you don't know what a monoply is because you realize that Verizon still has as many if not more subscribers than ATT & TMobile?
A lot of people don't understand what a monopoly is. iPhones for everyone though!
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There goes my $10 unlimited data.
There goes some great cust. service.
There goes low prices in general. With VZW and ATT on top with over 200mil subscribers, they're jacking up prices.
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Originally Posted by superblyTRIFE
THIS.
May jump ship to Verizon if I'm not happy with the merged service, but if I'm able to opt out, I'm all for it.
On one hand, this isb/c now I'll have a chance to get an iPhone w/out jumping ship. Plus the network will be larger. BUT, with AT&T's notoriously slow network and horrible customer service, this could end up being.
Hopefully my current rate will stick when TMO becomes AT&T, but I'm doubtful.
Dont believe the hype AT&Ts 3G speeds are almost 3 times faster on the iPhone than verizon.
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Originally Posted by superblyTRIFE
THIS.
May jump ship to Verizon if I'm not happy with the merged service, but if I'm able to opt out, I'm all for it.
On one hand, this isb/c now I'll have a chance to get an iPhone w/out jumping ship. Plus the network will be larger. BUT, with AT&T's notoriously slow network and horrible customer service, this could end up being.
Hopefully my current rate will stick when TMO becomes AT&T, but I'm doubtful.
Dont believe the hype AT&Ts 3G speeds are almost 3 times faster on the iPhone than verizon.
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AT&T: The empire strikes back mfer!
Dudes said F competition, we own you.
Dudes said F competition, we own you.
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sidekick 4g android for at&t users?
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[h3]What AT&T Purchase of T-Mobile Means[/h3]
By Rich Tehrani, CEO, Technology Marketing Corporation
(This analysis is taken from Rich Tehrani's VoIP & Communications blog on TMCnet
Today, AT&T announced it was purchasing T-Mobile (News
- Alert) from Deutsche Telecom generating a combined entity with 130 million wireless subscribers producing $72.2B per year in revenue. While AT&T had an exclusive contract with Apple to sell iPads and iPhones it could rely on organic growth but now that Cupertino decided polygamy was more lucrative and Google’s Android (News - Alert) is unleashing a torrent of cool devices on all networks, the c
hallenge for carriers is to figure out how to compete effectively in a world where differentiating based on device is more difficult.
iPhone and AT&T’s Network Quality Perception
AT&T took a beating while being the exclusive home of the iPhone and was ridiculed on programs from The Daily Show to Saturday Night Live for selling device which couldn’t effectively make phone calls. So in order to combat this perception the company is spending $39B to purchase T-Mobile and by doing so expand its reach by 46.5M Americans meaning it can reach 95% of the population or about 294M people. In theory this move means less dropped calls for all AT&T customers.
EBITDA-Based Rationale
For a number of years AT&T was in the driver’s seat as the exclusive US carrier of Apple phones and during that time it was able to generate more revenue and profit per subscriber as it didn’t have to compete so much on price like T-Mobile and Sprint (News
- Alert). This is why postpaid customers (those who pay the bill after they receive it in the email) pay AT&T $62.57 per month while over at T-Mobile the number is lower at $52. More telling is the fact that the EBITDA margin at AT&T is 40.7% as opposed to 29.2% at T-Mobile meaning we have two companies which don’t have the best network quality reputations and who provide commoditized services and one makes more than 33% profit than the other.
From AT&T’s standpoint the timing couldn’t be better as the company has had years to weaken T-Mobile as a competitor while maximizing its own share price in the process. To maintain momentum, it purchases a carrier with the same network technology – GSM meaning minimal disruption in terms of jerry-rigging disparate wireless technologies.
The hope for AT&T is the combined network will improve the image of either network individually by increasing coverage area and decreasing dropped calls. This in turn will theoretically help keep churn low – currently at T-Mobile this number is 3.4% while at AT&T the number is far lower at 1.31%
The Future of Communications and Competition
The money in the communications space is certainly in the wireless market and the top priorities at Verizon and AT&T are well-known to be wireless, wireless and more wireless. And this in turn means that traditional broadband providers such as those in the cable space need to find a way to have an effective wireless strategy.
This move makes the position of the entire cable market and other broadband providers that much worse. There is one less wireless asset available at a reasonable valuation.
And for AT&T, their solidified position will allow them to sleep more comfortably at night while they do their best to hold onto their customers as they consider switching to Verizon when their contracts end.
Just How Fast is Wireless Growing?
To give you an idea of how fast the wireless market is growing consider that AT&T believes total data volumes will increase 8x-10x over the next five years after growing 8,000% in the past four years. The reasons are obvious but AT&T does spell them out – cloud, LTE, 4G, accelerating app explosion, connected devices, M2M, mobile business, remote health monitoring and more.
Will it Be Allowed?
If the alarm bells didn’t sound before you heard about AT&T gaining more marketshare, after reading its own documentation supporting the deal you would walk away confused. Typically when I get ahold of documents touting synergies in an acquisition they drone on endlessly about how good the deal will be for the purchasers and customers. They never mention how good the competition is.
But in AT&T’s case there are entire slides dedicated to the competition and how good they are and how much potential they have to be strong competitors. In fact 11 slides out of 28 (PDF) talking about the deal are dedicated to how much competition there is and how strong the competitors are. It is a preemptive strike against those who will cry foul and say this deal should be stopped on the grounds of it being anti-competitive.
For example on one slide (PDF) it details all the competitors and how great they are – for example, Sprint/Clearwire is in the number one spectrum position andLightSquared (News - Alert) expects to cover 260M people with its wireless network. Another slide (PDF) details how in many major cities such as New York, Los Angeles, Miami and others, there are currently five or six wireless service providers.
No More Spectrum?
Perhaps a bigger concern here is where the additional spectrum will come from. Ispoke about thisproblem recently with former FCCChairman Kevin Martin before his keynote in January atITEXPO (News - Alert) and he mentioned there is no simple answer to the problem. AT&T acknowledges the problem (PDF) as well and says both it and T-Mobile are facing impending spectrum exhaust challenges in NYC and other major markets. The chart below details which carriers hold what amount of spectrum.
The combined company should be better able to weather short-term spectrum challenges and in fact the map below shows how the combined company will be rolling out 4G to larger parts of Texas for example.
Conclusion
AT&T has certainly been successful at merging dozens of companies with a high level of smoothness and obviously their bending to the will of Steve Jobs to get the iPhone exclusive showed they were more forward-thinking than Verizon at the time. For T-Mobile employees and customers this move is a good one as they can now upgrade to Apple and other AT&T products without having to deal with switching carriers. For existing AT&T customers this move is good as they will have increased coverage and theoretically faster performance.
From a carrier investment perspective this move is a plus as there is one less weak carrier to slash prices meaning there is more predictable ROI on the multibillion dollar investments which must be made.
For the competitive environment this isn’t a plus. It seems all broadband providers will need a wireless offering of some kind in the future and there is one less wireless carrier to purchase as of today.
Like any other acquisition there will be many winners and losers but it seems AT&T made a very smart move here as they look to take advantage of the booming wireless and forthcoming 4G space.
Rich Tehrani is CEO of TMC. In addition, he is the Chairman of the world’s best-attended communications conference, INTERNET TELEPHONY Conference & EXPO (ITEXPO). He is also the author of his own communications and technology blog.
(This analysis is taken from Rich Tehrani's VoIP & Communications blog on TMCnet
Today, AT&T announced it was purchasing T-Mobile (News
iPhone and AT&T’s Network Quality Perception
AT&T took a beating while being the exclusive home of the iPhone and was ridiculed on programs from The Daily Show to Saturday Night Live for selling device which couldn’t effectively make phone calls. So in order to combat this perception the company is spending $39B to purchase T-Mobile and by doing so expand its reach by 46.5M Americans meaning it can reach 95% of the population or about 294M people. In theory this move means less dropped calls for all AT&T customers.
EBITDA-Based Rationale
For a number of years AT&T was in the driver’s seat as the exclusive US carrier of Apple phones and during that time it was able to generate more revenue and profit per subscriber as it didn’t have to compete so much on price like T-Mobile and Sprint (News
From AT&T’s standpoint the timing couldn’t be better as the company has had years to weaken T-Mobile as a competitor while maximizing its own share price in the process. To maintain momentum, it purchases a carrier with the same network technology – GSM meaning minimal disruption in terms of jerry-rigging disparate wireless technologies.
The hope for AT&T is the combined network will improve the image of either network individually by increasing coverage area and decreasing dropped calls. This in turn will theoretically help keep churn low – currently at T-Mobile this number is 3.4% while at AT&T the number is far lower at 1.31%
The Future of Communications and Competition
The money in the communications space is certainly in the wireless market and the top priorities at Verizon and AT&T are well-known to be wireless, wireless and more wireless. And this in turn means that traditional broadband providers such as those in the cable space need to find a way to have an effective wireless strategy.
This move makes the position of the entire cable market and other broadband providers that much worse. There is one less wireless asset available at a reasonable valuation.
Just How Fast is Wireless Growing?
To give you an idea of how fast the wireless market is growing consider that AT&T believes total data volumes will increase 8x-10x over the next five years after growing 8,000% in the past four years. The reasons are obvious but AT&T does spell them out – cloud, LTE, 4G, accelerating app explosion, connected devices, M2M, mobile business, remote health monitoring and more.
Will it Be Allowed?
If the alarm bells didn’t sound before you heard about AT&T gaining more marketshare, after reading its own documentation supporting the deal you would walk away confused. Typically when I get ahold of documents touting synergies in an acquisition they drone on endlessly about how good the deal will be for the purchasers and customers. They never mention how good the competition is.
But in AT&T’s case there are entire slides dedicated to the competition and how good they are and how much potential they have to be strong competitors. In fact 11 slides out of 28 (PDF) talking about the deal are dedicated to how much competition there is and how strong the competitors are. It is a preemptive strike against those who will cry foul and say this deal should be stopped on the grounds of it being anti-competitive.
For example on one slide (PDF) it details all the competitors and how great they are – for example, Sprint/Clearwire is in the number one spectrum position andLightSquared (News - Alert) expects to cover 260M people with its wireless network. Another slide (PDF) details how in many major cities such as New York, Los Angeles, Miami and others, there are currently five or six wireless service providers.
No More Spectrum?
Perhaps a bigger concern here is where the additional spectrum will come from. Ispoke about thisproblem recently with former FCCChairman Kevin Martin before his keynote in January atITEXPO (News - Alert) and he mentioned there is no simple answer to the problem. AT&T acknowledges the problem (PDF) as well and says both it and T-Mobile are facing impending spectrum exhaust challenges in NYC and other major markets. The chart below details which carriers hold what amount of spectrum.
The combined company should be better able to weather short-term spectrum challenges and in fact the map below shows how the combined company will be rolling out 4G to larger parts of Texas for example.
Conclusion
AT&T has certainly been successful at merging dozens of companies with a high level of smoothness and obviously their bending to the will of Steve Jobs to get the iPhone exclusive showed they were more forward-thinking than Verizon at the time. For T-Mobile employees and customers this move is a good one as they can now upgrade to Apple and other AT&T products without having to deal with switching carriers. For existing AT&T customers this move is good as they will have increased coverage and theoretically faster performance.
From a carrier investment perspective this move is a plus as there is one less weak carrier to slash prices meaning there is more predictable ROI on the multibillion dollar investments which must be made.
For the competitive environment this isn’t a plus. It seems all broadband providers will need a wireless offering of some kind in the future and there is one less wireless carrier to purchase as of today.
Like any other acquisition there will be many winners and losers but it seems AT&T made a very smart move here as they look to take advantage of the booming wireless and forthcoming 4G space.
Rich Tehrani is CEO of TMC. In addition, he is the Chairman of the world’s best-attended communications conference, INTERNET TELEPHONY Conference & EXPO (ITEXPO). He is also the author of his own communications and technology blog.
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royally.
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Do y'all really deal with customer service THAT much tho?......I mean I have Tmo and have had it for 4 years, and have only needed to contact them like 3 different times over that 4 year period
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Looks like AT&T bought Tmobile by selling a piece of itself... Kinda boss moveish by Tmobile...
"Get in get out that's an OG's classic...."
"Get in get out that's an OG's classic...."
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Being a T-mobile Employee, its what ever as long as I have a job and benefits.
But this was pretty much a given.
AT&T can piggy back on T-Mobiles HSPA + , then when the LTE rollout is complete, spit will get real. Sucks for customers for the fact of competition is soon not going to exist.
But this was pretty much a given.
AT&T can piggy back on T-Mobiles HSPA + , then when the LTE rollout is complete, spit will get real. Sucks for customers for the fact of competition is soon not going to exist.
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from Tmobile Forum FAQ
http://forums.t-mobile.com/t5/T-Mob...-Mobile-USA-From-Deutsche-Telekom/td-p/785009
Is T-Mobile USA getting the iPhone?
T-Mobile USA remains an independent company. The acquisition is expected to be completed in approximately 12 months. We do not offer the iPhone. We offer cutting edge devices like the Samsung Galaxy S 4G and coming soon our new Sidekick 4G.
http://forums.t-mobile.com/t5/T-Mob...-Mobile-USA-From-Deutsche-Telekom/td-p/785009
Is T-Mobile USA getting the iPhone?
T-Mobile USA remains an independent company. The acquisition is expected to be completed in approximately 12 months. We do not offer the iPhone. We offer cutting edge devices like the Samsung Galaxy S 4G and coming soon our new Sidekick 4G.
