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Deutsche Telekom and MetroPCS Announce Merger

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This Move Still Makes No Sense

by Slammer    Oct 3, 2012, 9:25 AM

This looks more like a desperation move rather than an asset move. It is possibly to overthrow a Sprint offer. Which means DT paid an inflated price to acquire. They may gain spectrum and a few customers. But then what? They have been losing subscribers left and right. Many of the 9 million that they will acquire from MetroPCS will need to be offered some pretty sweet deals to make the stay attractive. In spite of how simple this all seems, It may be quick but, I believe this is going to be a nightmare merge shortly after and really serve Tmobile little benefit to gain traction. DT has had very little involvement to help their subsidary.

I'm at a loss.

John B.

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