Sprint and T-Mobile agree to combine in $26.5 billion deal
T-Mobile and Sprint reached a $26.5 billion merger agreement Sunday that would reduce the U.S. wireless industry to three major players — that is, if the Trump administration’s antitrust regulators let the deal go through.
The nation’s third- and fourth-largest wireless companies have been considering a combination for years. But a 2014 attempt fell apart amid resistance from the Obama administration.
Consumers worry a less crowded telecom field could result in higher prices, while workers unions are concerned about potential job losses.
In a conference call, Sprint CEO Marcelo Claure acknowledged that getting regulatory approval is “the elephant in the room.”
The companies emphasized that the deal would help accelerate their development of faster 5G wireless networks and ensure that the U.S. doesn’t cede leadership on the technology to China.