Alltel Looking To Sell
T-Mobile should be asking Deutsche Telekom to buy Alltel
Even though this is LONG shot, if T-Mobile really wanted to buy Alltel they would need to beg DT for the funds. But again it is a huge longshot being that they spent so much on spectrum.
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To be honest, T-Mobile couldn't afford to buy anything, even if it was on clearance at 75% off plus triple coupon day on top of that.
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What are you talking about. T-Mobile can afford to buy Alltel. All they have to do is ask DT to give or loan them the money. DT wouldn't have any problems doing it since T-Mobile USA brings them the money anyways.
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DT loves T-Mobile right now. T-Mobile makes up 22% of their EBITDA. If T-Mobile wanted to, they could convince DT to buy Alltel for them. But I don't think T-Mobile is interested in purchasing Alltel regardless.
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Alltel is a CDMA carrier. T-Mobile is GSM. It wouldn't be worth the effort to convert all those customers and towers from CDMA to GSM.
That's MY opinion anyway.
That's MY opinion anyway.
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BUT...Alltel does have a GSM network. The network was build for T-Mobile and Cingular roamers.
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algorithmplus said:
BUT...Alltel does have a GSM network. The network was build for T-Mobile and Cingular roamers.
The GSM network was built out primarily in areas where there is no GSM service at all. So only those areas could easily be converted to GSM service for Cingular/AT&T or T-Mobile. But the rest of the network is CDMA, & would involve major switchover to GSM, and would cost more than it might be worth to most of the GSM carriers. But if Verizon were to acquire Alltel, the divested areas might still go to a GSM carrier, and would still cost a lot of money to switchover the network, but wouldn't be as much, as it would be if a GSM carrier acquired most of the network. I believe in the case of ...
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I think it would benefit T-Mobile in the long run to buy Alltel but I know they're not going to, mainly because of the reasons other people have already listed. Most likely Alltel will have to sell of some of it's spectrum to be able to be bought out. The FTC and the FCC typically do that when one cell phone carrier buys another. It's also equally possible that Verizon will feel that they're not worth buying.
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In one sense, T-Mobile or Cingular could migrate Alltel's GSM system to their own, start overlaying with GSM, HSDPDA, maybe even HSDPA, and that would already give them established infrastructure for the buildout of AWS licenses. I could see this being a big win for T-Mo. And then, the Alltel brand could be simply phased out. They could even learn from Sprint's blinded walking in their integration (in terms of customer views).
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