2015 has already seen a number of attempts from telecoms companies to merge; according to the WSJ, you can add another multi-billion-dollar deal to the ‘maybe’ column.
The WSJ quotes “people familiar with the matter” saying that T-Mobile and Dish are in talks to merge, a deal that would create another leviathon telecoms company. T-Mobile is best known as the USA’s most outspoken and non-traditional network, with a focus on making contracts obsolete (and swearing about the competition in the process). Dish mostly sells satellite TV and internet, a business model that’s under serious threat from cord-cutters and high-speed fiber broadband.
Both companies are worth around $30 billion; a deal would create yet another cross-platform telecoms giant, on the same scale as the new AT&T/DirecTV corporation. As the WSJ points out, Dish is also sitting on billions of dollars in wireless licenses, something that T-Mobile would be keen to make use of.
The deal reportedly far from done yet — and it’s worth bearing in mind that T-Mobile spent much of last year in acquisition talks with Sprint, only for that plan to ultimately fall through. But since this merger involves two companies that aren’t in direct competition, federal regulators are far more likely to give their blessing to the marriage. [WSJ]
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