T-Mobile-Sprint merger: What it means for you
[MUSIC]
So T-Mobile and Sprint have been waiting a long time more than a year to close this $ 26.5 billion deal.
You know they've argued that this deal is crucial to upgrading their network and making sure that everyone in America has 5G.
But there's still a lot of hurdles to this deal there.
There's still some challenges from state attorneys general.
So it's not quite a done deal yet.
[MUSIC]
[MUSIC]
As much noise as T-Mobile makes about being the un-carrier, and this huge presence.
You know they're still a distant third.
And Sprint, even further behind.
So the idea is that T-Mobile, Sprint getting together gets them large enough to compete with AT&T and Verizon.
Now the telecom business is a scaled business.
You can run more efficiently if you have a bigger base of customers, So combining key mobile and sprint make them a lot more effective when it comes to upgrading and maintaining their network and competing against AT&T and Verizon.
[MUSIC]
Once this still goes through, you're gonna see TMobile start to move sprint customers over to their network because they want to run a single network.
So it's a lot more efficient.
The real wild card here is this announcement today by the Justice Department that they'll have to sell some assets off to Dish Network.
Dish is a satellite TV company and it's getting into the wireless business for the first time.
So conceivably we'll have a fourth option, a different fourth option when it comes to wireless service.
[MUSIC]
For T Mobile customers not lots going to change.
In fact, T Mobile has committed to keeping prices locked in for the next three years, so no price hikes there.
After that, it is all bets are off.
As we are sprint customers, you can imagine T Mobile start enticing some of these customers to move over to the t mobile network.
Now, fortunately, phones like the latest iPhones can run on both networks, but this company wants to move everyone onto one network, because it's just a lot more efficient to run.
[MUSIC]
Under this new deal with the DOJ and T-Mobile and Sprint DISH will get all Sprint's prepaid businesses.
So that's Boost, Virgin Mobile, and Sprint's prepaid business, about 9 million customers.
They will get access to Spectrum.
And it's part of a $5 billion acquisition that they're striking with T-Mobile and Sprint.
In addition to that, they'll get access to Network sharing agreements and retail out with basically all the tools to start a wireless business a legit nationwide wireless business now there's still a lot of questions about whether or not dish is really that serious about it.
They spent the last decade ordering spectrum and had shown no intent to build a wireless network.
So We'll see at this point.
But right now what T-Mobile are trying to position Dish as is a fourth credible competitor.
[MUSIC]
5G is a critical part of why T-Mobile and Sprint wanna get together.
Sprint has some really valuable spectrum.
It combined with what T-Mobile has, it really has kind of a top to bottom down portfolio spectrum that really gives you a full breath of coverage.
Really high speeds in dense areas like big cities like New York, as well as wider coverage in suburbia and world Americans.
They've committed to offering 99% of americans speeds of 100 megabits per second so that's a pretty lofty goal.
And they believe that with this combination of the spectrum that they're getting, all the assets together that they can actually meet those goals.
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