AT&T To Acquire T-Mobile USA
Well--
T Bone said:
That and the fact that no major changes will need to be made to the networks since they are already compatible....
Except prices.
The real problem is that it is, and pretty much always has been, very difficult to make a profit from selling phone service. That's the reason why the original 'Ma Bell' monopoly developed in the first place, and that is the reason why the old 'Ma Bell' monopoly seems to be rebuilding itself.
It's like in Terminator 2 when the T-1000 got hit with the liquid nitrogen and it shattered.....and then slowly all the pieces started re-assembling itself...
Making a profit from phone service is difficult, that it why it tends towards monopoly.
T Bone said:
Making a profit from phone service is difficult, that it why it tends towards monopoly.
Luckily for us consumers, the Anti-Trust laws are regularly enforced.
Carriers make no money selling PHONES. This is why the carriers force contracts the way they do. With every customer whom gets a device at contract price the carrier will got in debt for 3 to 6 months depending on device. After the device is paid off the profit from the service plan is enormus. A 900 minute unlimited data and texting plan only costs a carrier 15 bucks to provide you and will generally charge you near 110 dollars.
The people they make money off of is the Smartphone users. Its the Feature phone users they make the least profit off of.
The REAL problem is that YOU are delusional. Let's see...SMS cost the carrier next to nothing and MMS nothing at all and customer's either get billed $.15 and $.25 per message respectively or pay for a messaging bundle which is pure profit. Providing buckets of minutes for less than pennies and charging for them and never mind overage fees. Again...profit. Data caps and overages fees there which are not justifiable and make them a heap. Damn! We're selling air, Bubba and these fools are paying for it!
CamelTowing said:
It wasn't a rumor. ATT had bigger pockets. I think the ATT offer was just better for DT. And the fact that Dan Hesse probably laughed in their face when DT wanted 50% control of the new company. I'm also pretty sure that $39 billion gives ATT international roaming rights for it's customers. I'm pretty shocked myself. But I think it's HILARIOUS to think of the bulging veins on some of the heads of the forum users here. If they hated the idea of selling to Sprint, they are going to have an aneurysm on the spot with AT&T.
🤣
Or the posters (OK, I won't use the R word) who feel its some moral right for Sprint to have this merger. You see them or on other websites feeling if one carrier...
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CamelTowing said:
So they jumped in and bought them for more than Sprint would or could offer.
I don't think Sprint can offer enough. AT&T, assuming the FCC and Justice Dept allows the merger, will pay $25B cash and pay the rest with stock dividends. I think Sprint simply cannot gain the capital necessary to purchase T-Mobile. Their credit rating isn't strong enough for that.
I think DT offered Sprint a merger with 50% control of the new company. It publicly stated that this was what it wanted. Sprint was no comment. Next thing ya know... ATT bought Tmob.
I think it's pretty clear that Sprint declined the 50% ownership offer. I'm not sure that's the only reason it declined. Dan has a pretty clear future lined out in his head for Sprint. I don't think a merger with Tmob was part of the picture.
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