As you may have previously heard, AT&T and T-Mobile intend to merge. This would make them the single largest carrier in the world. The merge would obviously prove beneficial to both companies but what does it mean for Sprint?
The truth is Sprint’s future is uncertain as until the deal is done they do not know what will happen. The approval of the deal would hand the joint company 80% control of the market making it more difficult for Sprint to compete as they would be left with only 17%.
If the deal goes through it is reported to be costing AT&T $39 billion. Critics warn this could be devastating for consumers. Dan Hesse Chief Executive of Sprint says the whole market could suffer not just Sprint.
He also argues that the healthy competition that the market has at the moment is ‘driving prices down and quality up’ suggesting the merge may cause the opposite effect. However Randall Stephenson AT&T’s Chief Executive Officer thinks the merge would not cause a rise in prices.
More details on the matter and where it would leave Sprint can be found in the article from The Star by clicking the link. What do you think of the deal? Will it benefit the market or make it worse? Let us know in the comments below.