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Last year, four of the largest U.S. cell carriers were caught selling and sending real-time location data of their customers to shady companies that sold it on to big spenders, who would use the data to track anyone “within seconds” for whatever reason they wanted.
At first, little-known company LocationSmart was obtaining (and leaking) real-time location data from AT&T, Verizon, T-Mobile and Sprint and selling access through another company, 3Cinteractive, to Securus, a prison technology company, which tracked phone owners without asking for their permission. This game of telephone with people’s private information was discovered, and the cell carriers, facing heavy rebuke from Sen. Ron Wyden, a privacy-minded lawmaker, buckled under the public pressure and said they’d stop selling and sharing customers’ locations.
And that would’ve been that — until it wasn’t.
Now, new reporting by Motherboard shows that while LocationSmart faced the brunt of the criticism, few focused on the other big player in the location-tracking business, Zumigo. A payment of $300 and a phone number was enough for a bounty hunter to track down the participating reporter by obtaining his location using Zumigo’s location data, which was continuing to pay for access from most of the carriers.
Worse, Zumigo sold that data on — like LocationSmart did with Securus — to other companies, like Microbilt, a Georgia-based credit reporting company, which in turn sells that data on to other firms that want that data. In this case, it was a bail bond company, whose bounty hunter was paid by Motherboard to track down the reporter — with his permission.
Everyone seemed to drop the ball. Microbilt said the bounty hunter shouldn’t have used the location data to track the Motherboard reporter. Zumigo said it didn’t mind location data ending up in the hands of the bounty hunter, but still cut Microbilt’s access.
But nobody quite dropped the ball like the carriers, which said they would not to share location data again.
T-Mobile, at the center of the latest location-selling revelations for passing the reporter’s location to the bounty hunter, said last year in the midst of the Securus scandal that it “reviewed” its real-time location data sharing program and found appropriate controls in place. To appease even the skeptical, T-Mobile chief executive John Legere tweeted at the time that he “personally evaluated the issue” and promised that the company “will not sell customer location data to shady middlemen.”
It’s hard to see how that isn’t, in hindsight, a downright lie.
Sounds like word hasn’t gotten to you, @ronwyden. I’ve personally evaluated this issue & have pledged that @tmobile will not sell customer location data to shady middlemen. Your consumer advocacy is admirable & we remain committed to consumer privacy. https://t.co/UPx3Xjhwog
— John Legere (@JohnLegere) June 19, 2018
This time around, T-Mobile said it “does not have a direct relationship” with Microbilt but admitted one with Zumigo, which, given the story and the similarities to last year’s Securus scandal, could be considered one of many “shady middlemen” still obtaining location data from cell carriers.
Legere later said in a tweet late Wednesday that the company “is completely ending” its relationships with location aggregators in March, almost a year after the company was first implicated in the first location-sharing scandal.
It wasn’t just T-Mobile. Other carriers were also still selling and sharing their customers’ data.
AT&T said in last year’s letter it would “protect customer data” and “shut down” Securus’ access to its real-time store of customer location data. Most saw that as a swift move to prevent third-parties accessing customer location data. Now, AT&T seemed to renege on that year-ago pledge, saying it will “only permit the sharing of location” in limited cases, including when required by law.
Sprint didn’t say what its relationship was with either Zumigo or Microbilt, but once again — like last year — cited its privacy policy as its catch-all to sell and share customer location data. Yet Sprint, like its fellow carriers AT&T and T-Mobile, which pledged to stop selling location data, clearly didn’t complete its “process of terminating its current contracts with data aggregators to whom we provide location data” as it promised in a letter a year ago.
Verizon, the parent company of TechCrunch, wasn’t explicitly cleared from sharing location data with third-parties in Motherboard’s report — only that the bounty hunter refused to search for a Verizon number. (We’ve asked Verizon if it wants to clarify its position — so far, we’ve had nothing back.)
In a letter sent last year when the Securus scandal blew up, Verizon said it would “take steps to stop” sharing data with two firms — Zumigo and LocationSmart, an intermediary that passed on obtained location data to Securus. But that doesn’t mean it’s off the hook. It was still sharing location data with anyone who wanted to pay in the first place, putting its customers at risk from hackers, stalkers — or worse.
Wyden. who tweeted about the story, said carriers selling customer location data “is a nightmare for national security and the personal safety of anyone with a phone.” And yet there’s no way to opt out — shy of a legislative fix — given that two-thirds of the U.S. population aren’t going to switch to a carrier that doesn’t sell your location data.
It turns out, you really can’t trust your cell carrier. Who knew?
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AT&T recently started a shady marketing tactic that labeled its 4G network as a 5G network. Now, rivals Verizon and T-Mobile are not having any of it.
In an open letter, in which AT&T is not named directly, Verizon says in part “the potential to over-hype and under-deliver on the 5G promise is a temptation that the wireless industry must resist.” TechCrunch agrees. The advantages of 5G networks are profound. The next generation of wireless networks will bring more than just increased speeds, and AT&T’s current campaign of calling a 4G network a 5G network clouds the water.
T-Mobile is more direct in its criticism of AT&T. Because that’s how T-Mobile rolls. Watch.
didn’t realize it was this easy, brb updating pic.twitter.com/dCmnd6lspH
— T-Mobile (@TMobile) January 7, 2019
This isn’t the first time AT&T has employed this mislabeling campaign. The wireless carrier did something similar prior to launching its LTE network; it was shady then and it’s shady now.
Disclosure: TechCrunch is a Verizon Media company.
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This year marks an interesting turning point for OnePlus. In December, it will hit the five year mark. The Oppo-backed company has managed to grow significantly in that relatively short window. Back in June, it noted that it had sold one million units of its latest smartphone in the first 22 days.
Continued growth will require some strategic partnerships. In the States, that means partnering with a carrier — after all, most smartphone users still purchase devices through those channels here. Fittingly, along today’s launch of the 6T, OnePlus is announcing its first U.S. carrier partner, T-Mobile.
Why choose the third largest carrier? Here’s what CEO Pete Lau says of the deal, “T-Mobile is the perfect wireless partner for us in the US. The OnePlus 6T clocks some serious speed, and we wanted our customers to unleash it on the fastest network in the nation.”
It’s official! Get your #OnePlus6T at over 5,000 @Tmobile stores across the US. #UnlockTheSpeed pic.twitter.com/Z73biIDG3g
— OnePlus (@oneplus) October 29, 2018
T-Mobile’s foul mouthed CEO John Legere also notes that somewhere in the neighborhood of 200k OnePlus owners are using their unlocked handsets with the carrier. In addition to whatever sort of deals were worked out between the two companies, T-Mobile’s size offers a good opportunity to help OnePlus grow at a manageable rate. That kind of modest expansion has long been a key to the company’s success.
While other smartphone manufacturers are falling over themselves to one up the competition, OnePlus has focused on offering a solid handset at a decent price. But even $549 looks intimidating to users accustom to purchasing phones at carrier subsidized rates.
The 6T will be available from T-Mobile on November 1 — though folks in New York City can pick one up starting tonight at the T-Mobile store in Times Square.
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Twilio is hosting its Signal developer conference in San Francisco this week. Yesterday was all about bots and taking payments over the phone; today is all about IoT. The company is launching two new (but related) products today that will make it easier for IoT developers to connect their devices. The first is the Global Super SIM that offers global connectivity management through the networks of Twilio’s partners. The second is Twilio Narrowband, which, in cooperation with T-Mobile, offers a full software and hardware kit for building low-bandwidth IoT solutions and the narrowband network to connect them.
Twilio also announced that it is expanding its wireless network partnerships with the addition of Singtel, Telefonica and Three Group. Unsurprisingly, those are also the partners that make the company’s Super SIM project possible.
The Super SIM, which is currently in private preview and will launch in public beta in the spring of 2019, provides developers with a global network that lets them deploy and manage their IoT devices anywhere (assuming there is a cell connection or other internet connectivity, of course). The Super SIM gives developers the ability to choose the network they want to use or to let Twilio pick the defaults based on the local networks.
Twilio Narrowband is a slightly different solution. Its focus right now is on the U.S., where T-Mobile rolled out its Narrowband IoT network earlier this year. As the name implies, this is about connecting low-bandwidth devices that only need to send out small data packets like timestamps, GPS coordinates or status updates. Twilio Narrowband sits on top of this, using Twilio’s Programmable Wireless and SIM card. It then adds an IoT developer kit with an Arduino-based development board and the standard Grove sensors on top of that, as well as a T-Mobile-certified hardware module for connecting to the narrowband network. To program that all, Twilio is launching an SDK for handling network registrations and optimizing the communication between the devices and the cloud.
The narrowband service will launch as a beta in early 2019 and offer three pricing plans: a developer plan for $2/month, an annual production plan for $10/year or $5/year at scale, and a five-year plan for $8/year or $4/year at scale.
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It’s been five years since T-Mobile picked up MetroPCS, and now the prepaid service is finally getting a fresh coat of paint. The “PCS” bit is getting the old heave-ho, while the brand’s owners are letting you know who’s boss with the new Metro by T-Mobile brand name.
The new name involves some new plans, along with a couple of perks from key partners. There are two new (pricier) tiers, in addition to the standard ones. The new unlimited plans run $50 and $60 a month, and both include storage via Google One.

That makes the newly rebranded service the first to offer up access to Google’s new storage plan. The cloud deal also offers access to Google Experts, who can help you troubleshoot issues with any Google service.
The $60 a month plan, meanwhile, tosses in Amazon Prime for good measure. That’s not exactly a solid reason to upgrade in and of itself, given that an Amazon Prime plan currently runs $119 a year, but the more premium plan offers 15GB of LTE data for its mobile hotspot versus 5GB.
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It’s been 10 years since Google took the wraps off the G1, the first Android phone. Since that time the OS has grown from buggy, nerdy iPhone alternative to arguably the most popular (or at least populous) computing platform in the world. But it sure as heck didn’t get there without hitting a few bumps along the road.
Join us for a brief retrospective on the last decade of Android devices: the good, the bad, and the Nexus Q.

This is the one that started it all, and I have a soft spot in my heart for the old thing. Also known as the HTC Dream — this was back when we had an HTC, you see — the G1 was about as inauspicious a debut as you can imagine. Its full keyboard, trackball, slightly janky slide-up screen (crooked even in official photos), and considerable girth marked it from the outset as a phone only a real geek could love. Compared to the iPhone, it was like a poorly dressed whale.
But in time its half-baked software matured and its idiosyncrasies became apparent for the smart touches they were. To this day I occasionally long for a trackball or full keyboard, and while the G1 wasn’t pretty, it was tough as hell.

Of course, most people didn’t give Android a second look until Moto came out with the Droid, a slicker, thinner device from the maker of the famed RAZR. In retrospect, the Droid wasn’t that much better or different than the G1, but it was thinner, had a better screen, and had the benefit of an enormous marketing push from Motorola and Verizon. (Disclosure: Verizon owns Oath, which owns TechCrunch, but this doesn’t affect our coverage in any way.)
For many, the Droid and its immediate descendants were the first Android phones they had — something new and interesting that blew the likes of Palm out of the water, but also happened to be a lot cheaper than an iPhone.

This was the fruit of the continued collaboration between Google and HTC, and the first phone Google branded and sold itself. The Nexus One was meant to be the slick, high-quality device that would finally compete toe-to-toe with the iPhone. It ditched the keyboard, got a cool new OLED screen, and had a lovely smooth design. Unfortunately it ran into two problems.
First, the Android ecosystem was beginning to get crowded. People had lots of choices and could pick up phones for cheap that would do the basics. Why lay the cash out for a fancy new one? And second, Apple would shortly release the iPhone 4, which — and I was an Android fanboy at the time — objectively blew the Nexus One and everything else out of the water. Apple had brought a gun to a knife fight.

Another HTC? Well, this was prime time for the now-defunct company. They were taking risks no one else would, and the Evo 4G was no exception. It was, for the time, huge: the iPhone had a 3.5-inch screen, and most Android devices weren’t much bigger, if they weren’t smaller.
The Evo 4G somehow survived our criticism (our alarm now seems extremely quaint, given the size of the average phone now) and was a reasonably popular phone, but ultimately is notable not for breaking sales records but breaking the seal on the idea that a phone could be big and still make sense. (Honorable mention goes to the Droid X.)

Samsung’s big debut made a hell of a splash, with custom versions of the phone appearing in the stores of practically every carrier, each with their own name and design: the AT&T Captivate, T-Mobile Vibrant, Verizon Fascinate, and Sprint Epic 4G. As if the Android lineup wasn’t confusing enough already at the time!
Though the S was a solid phone, it wasn’t without its flaws, and the iPhone 4 made for very tough competition. But strong sales reinforced Samsung’s commitment to the platform, and the Galaxy series is still going strong today.

This was an era in which Android devices were responding to Apple, and not vice versa as we find today. So it’s no surprise that hot on the heels of the original iPad we found Google pushing a tablet-focused version of Android with its partner Motorola, which volunteered to be the guinea pig with its short-lived Xoom tablet.
Although there are still Android tablets on sale today, the Xoom represented a dead end in development — an attempt to carve a piece out of a market Apple had essentially invented and soon dominated. Android tablets from Motorola, HTC, Samsung and others were rarely anything more than adequate, though they sold well enough for a while. This illustrated the impossibility of “leading from behind” and prompted device makers to specialize rather than participate in a commodity hardware melee.

And who better to illustrate than Amazon? Its contribution to the Android world was the Fire series of tablets, which differentiated themselves from the rest by being extremely cheap and directly focused on consuming digital media. Just $200 at launch and far less later, the Fire devices catered to the regular Amazon customer whose kids were pestering them about getting a tablet on which to play Fruit Ninja or Angry Birds, but who didn’t want to shell out for an iPad.
Turns out this was a wise strategy, and of course one Amazon was uniquely positioned to do with its huge presence in online retail and the ability to subsidize the price out of the reach of competition. Fire tablets were never particularly good, but they were good enough, and for the price you paid, that was kind of a miracle.

Sony has always had a hard time with Android. Its Xperia line of phones for years were considered competent — I owned a few myself — and arguably industry-leading in the camera department. But no one bought them. And the one they bought the least of, or at least proportional to the hype it got, has to be the Xperia Play. This thing was supposed to be a mobile gaming platform, and the idea of a slide-out keyboard is great — but the whole thing basically cratered.
What Sony had illustrated was that you couldn’t just piggyback on the popularity and diversity of Android and launch whatever the hell you wanted. Phones didn’t sell themselves, and although the idea of playing Playstation games on your phone might have sounded cool to a few nerds, it was never going to be enough to make it a million-seller. And increasingly that’s what phones needed to be.

As a sort of natural climax to the swelling phone trend, Samsung went all out with the first true “phablet,” and despite groans of protest the phone not only sold well but became a staple of the Galaxy series. In fact, it wouldn’t be long before Apple would follow on and produce a Plus-sized phone of its own.
The Note also represented a step towards using a phone for serious productivity, not just everyday smartphone stuff. It wasn’t entirely successful — Android just wasn’t ready to be highly productive — but in retrospect it was forward thinking of Samsung to make a go at it and begin to establish productivity as a core competence of the Galaxy series.

This abortive effort by Google to spread Android out into a platform was part of a number of ill-considered choices at the time. No one really knew, apparently at Google or anywhere elsewhere in the world, what this thing was supposed to do. I still don’t. As we wrote at the time:
Here’s the problem with the Nexus Q: it’s a stunningly beautiful piece of hardware that’s being let down by the software that’s supposed to control it.
It was made, or rather nearly made in the USA, though, so it had that going for it.

The First got dealt a bad hand. The phone itself was a lovely piece of hardware with an understated design and bold colors that stuck out. But its default launcher, the doomed Facebook Home, was hopelessly bad.
How bad? Announced in April, discontinued in May. I remember visiting an AT&T store during that brief period and even then the staff had been instructed in how to disable Facebook’s launcher and reveal the perfectly good phone beneath. The good news was that there were so few of these phones sold new that the entire stock started selling for peanuts on Ebay and the like. I bought two and used them for my early experiments in ROMs. No regrets.

This was the beginning of the end for HTC, but their last few years saw them update their design language to something that actually rivaled Apple. The One and its successors were good phones, though HTC oversold the “Ultrapixel” camera, which turned out to not be that good, let alone iPhone-beating.
As Samsung increasingly dominated, Sony plugged away, and LG and Chinese companies increasingly entered the fray, HTC was under assault and even a solid phone series like the One couldn’t compete. 2014 was a transition period with old manufacturers dying out and the dominant ones taking over, eventually leading to the market we have today.
Google/LG Nexus 5X and Huawei 6P (2015)

This was the line that brought Google into the hardware race in earnest. After the bungled Nexus Q launch, Google needed to come out swinging, and they did that by marrying their more pedestrian hardware with some software that truly zinged. Android 5 was a dream to use, Marshmallow had features that we loved … and the phones became objects that we adored.
We called the 6P “the crown jewel of Android devices”. This was when Google took its phones to the next level and never looked back.
Google Pixel (2016)
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If the Nexus was, in earnest, the starting gun for Google’s entry into the hardware race, the Pixel line could be its victory lap. It’s an honest-to-god competitor to the Apple phone.
Gone are the days when Google is playing catch-up on features to Apple, instead, Google’s a contender in its own right. The phone’s camera is amazing. The software works relatively seamlessly (bring back guest mode!), and phone’s size and power are everything anyone could ask for. The sticker price, like Apple’s newest iPhones, is still a bit of a shock, but this phone is the teleological endpoint in the Android quest to rival its famous, fruitful, contender.
Let’s see what the next ten years bring.
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Ericsson is going to be providing T-Mobile with its latest 5G new radio hardware and 3GPP for a cool $3.5 billion.
As it moves from LTE Advanced networks to 5G, T-Mobile said it will use the Ericsson portfolio of products to expand its existing LTE capacity while readying the network for the 5G jump.
Included in the deal are Ericsson’s digital services like dynamic orchestration, business support systems and Ericsson cloud core, which will be used to help T-Mobile roll out 5G services to its customers.
“We have recently decided to increase our investments in the US to be closer to our leading customers and better support them with their accelerated 5G deployments; thereby bringing 5G to life for consumers and enterprises across the country,” Niklas Heuveldop, the president and head of Ericsson North America, said in a statement. “This agreement marks a major milestone for both companies. We are excited about our partnership with T-Mobile, supporting them to strengthen, expand and speed up the deployment of their nationwide 5G network.”
As Mobile World Congress Americas gears up there will be several of these announcements coming down the pike. Already Nokia and Sprint announced they’d be unveiling a demonstration of 5G new radio connections and the Nokia Massive MIMO (multiple input multiple output) technology.
New 5G networking technology promises to deliver high speeds and high-reliability, energy-efficient service in areas of high-device density with extremely low latency.
The partnership with Ericsson means that T-Mobile’s already installed base of Ericsson Radio System radios will be able to run 5G NR with a remote software installation.

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A year ago I felt a panic that still reverberates in me today. Hackers swapped my T-Mobile SIM card without my approval and methodically shut down access to most of my accounts and began reaching out to my Facebook friends asking to borrow crypto. Their social engineering tactics, to be clear, were laughable but they could have been catastrophic if my friends were less savvy.

Flash forward a year and the same thing happened to me again – my LTE coverage winked out at about 9pm and it appeared that my phone was disconnected from the network. Panicked, I rushed to my computer to try to salvage everything I could before more damage occurred. It was a false alarm but my pulse went up and I broke out in a cold sweat. I had dealt with this once before and didn’t want to deal with it again.
Sadly, I probably will. And you will, too. The SIM card swap hack is still alive and well and points to one and only one solution: keeping your crypto (and almost your entire life) offline.
Stories about massive SIM-based hacks are all over. Most recently a crypto PR rep and investor, Michael Terpin, lost $24 million to hackers who swapped his AT&T SIM. Terpin is suing the carrier for $224 million. This move, which could set a frightening precedent for carriers, accuses AT&T of “fraud and gross negligence.”
From Krebs:
Terpin alleges that on January 7, 2018, someone requested an unauthorized SIM swap on his AT&T account, causing his phone to go dead and sending all incoming texts and phone calls to a device the attackers controlled. Armed with that access, the intruders were able to reset credentials tied to his cryptocurrency accounts and siphon nearly $24 million worth of digital currencies.
While we can wonder in disbelief at a crypto investor who keeps his cash in an online wallet secured by text message, how many other services do we use that depend on emails or text messages, two vectors easily hackable by SIM spoofing attacks? How many of us would be resistant to the techniques that nabbed Terpin?
Another crypto owner, Namek Zu’bi, lost access to his Coinbase account after hackers swapped his SIM, logged into his account, and changed his email while attempting direct debits to his bank account.
“When the hackers took over my account they attempted direct debits into the account. But because I blocked my bank accounts before they could it seems there are bank chargebacks on that account. So Coinbase is essentially telling me sorry you can’t recover your account and we can’t help you but if you do want to use the account you owe $3K in bank chargebacks,” he said.
Now Zu’bi is facing a different issue: Coinbase is accusing him of being $3,000 in arrears and will not give him access to his account because he cannot reply from the hacker’s email.
“I tried to work with coinbase hotline who is supposed to help with this but they were clueless even after I told them that the hackerchanged email address on my original account and then created a new account with my email address. Since then I’ve been waiting for a ‘specialist’ to email me (was supposed to be 4 business days it’s been 8 days) and I’m still locked out of my account because Coinbase support can’t verify me,” he said.
It has been a frustrating ride.
“As an avid supporter and investor in crypto it baffles me how one of the market leaders who just supposedly launched institutional grade custody solutions can barely deal with a basic account take-over fraud,” Zu’bi said.
I’ve been using Trezor hardware wallets for a while, storing them in safe places outside of my home and maintaining a separate record of the seeds in another location. I have very little crypto but even for a fraction of a few BTC it just makes sense to practice safe storage. Ultimately, if you own crypto you are now your own bank. That you would trust anyone – including a fiat bank – to keep your digital currency safe is deeply delusional. Heck, I barely trust Trezor and they seem like the only solution for safe storage right now.
When I was first hacked I posted recommendations by crypto exchange Kraken. They are still applicable today:
Call your telco and:
Set a passcode/PIN on your account
- Make sure it applies to ALL account changes
- Make sure it applies to all numbers on the account
- Ask them what happens if you forget the passcode
- Ask them what happens if you lose that too
Institute a port freeze
Institute a SIM lock
Add a high-risk flag
Close your online web-based management account
Block future registration to online management system
Hack yo’ self
See what information they will leak
See what account changes you can make
They also recommend changing your telco email to something wildly inappropriate and using a burner phone or Google Voice number that is completely disconnected from your regular accounts as a sort of blind for your two factor texts and alerts.
Sadly, doing all of these things is quite difficult. Further, carriers don’t make it easy. In May a 27-year-old man named Paul Rosenzweig fell victim to a SIM-swapping hack even though he had SIM lock installed on his account. A rogue T-Mobile employee bypassed the security, resulting in the loss of a unique three character Twitter and Snapchat account.
Ultimately nothing is secure. The bottom line is simple: if you’re in crypto expect to be hacked and expect it to be painful and frustrating. What you do now – setting up real two-factory security, offloading your crypto onto physical hardware, making diligent backups, and protecting your keys – will make things far better for you in the long run. Ultimately, you don’t want to wake up one morning with your phone off and all of your crypto siphoned off into the pocket of a college kid like Joel Ortiz, a hacker who is now facing jail time for “13 counts of identity theft, 13 counts of hacking, and two counts of grand theft.” Sadly, none of the crypto he stole has surfaced after his arrest.
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Sprint and T-Mobile, after years of going back and forth as to whether they are going to tie up two of the largest telecom providers in the U.S., have announced that the two companies have entered a merger agreement this morning.
The merger will be an all-stock transaction, and will now be subject to regulatory approval. That latter part is going to be its biggest challenge, because it will not only tie up the No. 3 and No. 4 carriers into the U.S. into a single unit, but also that international organizations hold significant stakes in both companies. SoftBank controls a majority of Sprint while Deutsche Telekom controls a significant chunk of T-Mobile. Following the administration’s intervention in the Broadcom-Qualcomm takeover attempt, it isn’t clear what will actually go through in terms of major mergers these days.
Bloomberg is reporting that Deutsche Telekom will have 42% ownership of the combined company, while SoftBank will own around 27% of the company.
As expected, the argument here is for the expansion of 5G networks as plans for that start to ramp up. T-Mobile argues in its announcement that it will help it be competitive with AT&T and Verizon as telecom companies start to roll out a next-generation 5G network, though it does in the end remove a carrier choice for end consumers in the U.S..
“The New T-Mobile will have the network capacity to rapidly create a nationwide 5G network with the breadth and depth needed to enable U.S. firms and entrepreneurs to continue to lead the world in the coming 5G era, as U.S. companies did in 4G,” T-Mobile said in a statement as part of the announcement. “The new company will be able to light up a broad and deep 5G network faster than either company could separately. T-Mobile deployed nationwide LTE twice as fast as Verizon and three times faster than AT&T, and the combined company is positioned to do the same in 5G with deep spectrum assets and network capacity.”
Both companies appeared to be finalizing the deal on Friday, when they set valuation terms and were preparing to announce the merger today. The deal values Sprint at an enterprise value of around $59 billion, with the combined company having an enterprise value of $146 billion. AT&T has a market cap of around $214 billion, while Verizon has a market cap of around $213 billion, as of Sunday.
I’m excited to announce that @TMobile & @Sprint
have reached an agreement to come together to form a new company – a larger, stronger competitor that will be a force for positive change for all US consumers and businesses! Watch this & click through for details.— John Legere (@JohnLegere) April 29, 2018
The transaction, the companies said, is of course subject to regulatory approval. But, pending approval, it is expected to close “no later than the first half of 2019.”
Disclosure: Verizon is the parent company of Oath, which owns TechCrunch.
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It looks like a potential merger deal between T-Mobile and Sprint, two of the major telecom companies in the U.S., is getting closer and now has set valuation terms, according to a report by Bloomberg.
The deal could be announced as soon as Sunday, according to a report by CNBC. The proposed tie-up of the two companies was called off in November last year, but now that deal appears to be coming closer, with T-Mobile’s backer valuing Sprint at around $24 billion, according to Bloomberg. As part of the deal, Deutsche Telekom AG will get a 69% voting interest on a 42% stake in the company, according to that report. (Both reports, however, disagree on the valuation — with CNBC citing a $26 billion valuation.)
This deal seems to have been a long time coming, and consolidates two of the four major telecom providers in the U.S. into one larger entity. That could, in theory, offer it some more flexibility as they expand into 5G networks. Still, a deal of this scale could still fall apart and would be subject to regulation — with significant international ownership of both companies (Softbank for Sprint, and Deutsche Telekom for T-Mobile).
Sprint shares fell more than 8% in extended trading to under $6, while T-Mobile shares were largely unchanged. Shares of Sprint were up around 8% on the day up to $6.50 in early trading.
A representative from Sprint declined to comment. A representative from T-Mobile did not immediately respond to a request for comment.
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