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AT&T May Change MVNO Plans

Article Comments  56  

Jan 31, 2005, 4:43 PM   by (staff)

SBC intends to buy AT&T, raising the question of what will happen to AT&T's MVNO plans if the deal is approved by shareholders and the US government. Although AT&T already announced plans to launch an MVNO on Sprint's network, it is possible that if the purchase progresses, SBC will demand that the MVNO is launched on Cingular, which SBC co-owns. Today AT&T Chairman David Dorman stated the company still intends to launch an MVNO sometime this year, and that they would be open to selling Cingular's products.

more info at Reuters »
more info »



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Feb 2, 2005, 11:59 PM


Mergers, buyouts, and takeovers... all this without monopoly penalties (yet)... Gotta love them there Republicans Very Happy
They're ok with me until they reinstate the draft... Surprised
i hate to get political, but wasnt it under a democratic senate that the 1996 telecom reform act allowed the merger mania to start?

Jan 31, 2005, 6:30 PM

*cough* Monopoly *cough cough*

SBC better be careful... They might turn around and find themselves violating an anti-trust regulation... Just my 2 piece and a biscuit
Considering all of the alternatives their are out there to traditional landline phone service and long distance, this should be able to be get passed by the regulators fairly easily. Since 1984, wireless and internet phone service (VoIP) have been ad...
Monopoly it may not be. Reunion of the Bell Family? Quite probable. In either case, everybody seems to be merger-happy these days. It's good business if you've got the $41 billion to shell out. Twisted Evil

Jan 31, 2005, 5:05 PM

This is great!

And that's all I have to say.
I'm speechless.
It most certainly is a gamble on the part of SBC. They are already awash in debt and now they are going to add more debt?

Jan 31, 2005, 6:21 PM

Bad news for Sprint, Worse news for Cingular.

Hrm... they can't manage the subscribers they already have.
petemcroy said:
Hrm... they can't manage the subscribers they already have.

What do you mean? Cingular had more new additions last quarter pro forma than any other carrier. 1.8 million new adds. I think they are doi...
petemcroy said:
Hrm... they can't manage the subscribers they already have.
Sprint or Cingular? You've lost us. Again.

Jan 31, 2005, 6:48 PM


Ok this is an excerpt of an article I read online:

Because SBC and AT&T must continue to compete as if their merger may not occur, AT&T indicated it will proceed with plans to launch its own brand of cell phone service this year.

In an interesting twist, the new AT&T Wireless will compete directly with Cingular Wireless. Cingular recently became the nation's biggest cell phone company with 49.1 million subscribers by acquiring acquired the old AT&T Wireless, which AT&T Corp. spun off as an independent company in 2001.

AT&T doesn't own a wireless network, so it had struck a deal to use Sprint Corp.'s cellular system. AT&T executives declined to say whether that deal would stand or whether they might now seek to forge an agreement t...
AT&T never sold the name AT&T Wireless so Cingular would not have been able to keep that as the name of the new company, that name went back to AT&T. In regards to the UMTS Cingular is rolling it out across the network hopefully around 2006, 2007.

Being an MVNO gives AT&T the best of both worlds. They get a wireless revenue stream without the expense of maintaining a network. In essence they become a retailer of airtime. This makes a lot of sense, so much sense that they are only 1 of many comp...
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