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T-Mobile Considers Sale of US Unit

Article Comments  100+  

Jul 5, 2005, 1:04 AM   by (staff)

Deutsche Telekom is considering selling off their US unit, T-Mobile USA, the Wall Street Journal reported Monday. Although the US unit is one of the fastest growing T-Mobile divisions, the high cost of a looming network upgrade is making DT consider their options before making such a large investment. If DT chooses to sell T-Mobile USA, many are predicting Vodafone as the most likely suitor. Vodafone claims they have no interest in T-Mobile, however they said the same thing about AT&T Wireless, yet bid fiercely for the network. If DT decides to keep the network, they could float an IPO for the US division to fund the 3G upgrade, or they could choose to forgo the upgrade and become a low-cost, voice-centric carrier. Sources say DT will decide what to do with T-Mobile USA by the end of 2005. Update: Duetsche Telekom is denying the rumors are true. However it is standard practice for companies to deny rumors of a sale until the decision is public.

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kydruid

Jul 5, 2005, 12:45 PM

I know!

Apple and Motorola will team up and buy T-Mobile so they can provide a guaranteed network for their iTunes phones. That is unless of course the collaboration falls through because Intel starts making cellular phones.

Ok, in all seriousness, this rather stinks since I jumped the Cingular ship in January and moved to T-Mobile with the A630. I just hope that if DT does sell T-Mobile, the user base isn't cast adrift ala the AT&T folks in the Cingular buyout have been.
I was actually a "reverse migrator" meaning I moved from a Cingular plan to an AT&T Wireless plan just days after the merger was final. Cingular has never given me the shaft. I am seeing better coverage, my MTM are has greatly increased (and now inc...
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hot_md_guy

Jul 5, 2005, 7:34 AM

Rich = Scooped! :)

http://news.yahoo.com/s/nm/20050704/bs_nm/telecoms_d ... » ...

Interesting article. With T-Mobile's subscriber growth slowing consideribly, I'm sure it cost the german government quite a bit to continue to operate it.

The thing with this article, is that it ONLY notes one of Verizon's parents Vodafone as a potential buyer.

C'mon Cingular!!! I know you just spent 41 billion but drop another 30 and put so much room between you and everyone else it isn't even a contest.

Could you imagine Cingular with almost every GSM subscriber in the US? How massive their network would be then? C'mon SBC and Bellsouth, pony up! Git er done! Do this!

I think I can live with all of the annoying T-Mobile fan boys (so long as the annoying T-Mobile "...
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hot_md_guy said:
http://news.yahoo.com/s/nm/20050704/bs_nm/telecoms_d ... » ...

Interesting article. With T-Mobile's subscriber growth slowing consideribly, I'm sure it cost the german government quite a bit to continue to operat
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That link doesn't work for me.

What's with the "scooped" nonsense? Are you complaining because we observed Independence Day properly, with a beer, burger, and watching stuff explode, instead of sitting in front of a computer? We need a holiday, too...
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I am a Cingular customer, but I really hope that Vodafone wins the bid for T-mobile, this would hopefully make the american GSM market more competetive than it is right now, and hopefully with Vodafone's large assets they will be able to launch 3G qui...
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YEA Cingular... BUY TMobile so you can SUCK more!! 😲
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unwiredone

Jul 5, 2005, 12:04 PM

People bashed me we I hinted at this earlier

https://www.phonescoop.com/news/discuss.php?fm=m&ff= ... »

In this thread I hinted at just this...

DTK should just sell of it's US operations and focus on europe.. then I get flamed!
That's because your post looked more like a fan boy post than anything else. The FCC would not allow Cingular to buy them, so don't get your hopes up there.

I don't know why you think it would be over if they did not have 3g within the next year...
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unwiredone said:
https://www.phonescoop.com/news/discuss.php?fm=m&ff= ... »

In this thread I hinted at just this...

DTK should just sell of it's US operations and focus on europe.. then I get flamed!


...
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jf343

Jul 5, 2005, 1:08 PM

maybe not.....

for those too lazy to click:

AFX News Limited
Deutsche Telekom not interested in selling T-Mobile USA - report
07.05.2005, 04:25 AM

FRANKFURT (AFX) - Deutsche Telekom AG has no intention of selling its US mobile phone unit T-Mobile USA, Ger...
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I contacted my Director of Event Represenatives for TMO and he informed me that this story is false. From what he told me TMO USA is the largest profit gaining arm of DT, and DT has no intrest in selling TMO USA. Some hotshot probobly jumped the gun a...
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nextel18

Jul 5, 2005, 12:05 PM

my view on this matter.........

i dont think its a wise decision for DT to be selling tmobile usa...

voicestream was bought out by DT for approx 48 billion dollars in 2001, and the name was changed to tmobile as you guys know...

according to cnbc, david faber said that dt wants to sell the company for about 30 billion dollars. whats funny is that if that is the case, then they lost about 18 billion in about 4 years, which is a terrible thing.

they still has to upgrade to a 3g technology, plus they still need to increase their pops and coverage in many many areas.

the problem is now, is who will be the buyer or a struggling company who still has to upgrade to 3g?

will ntt?
will vodaphone?
will anyone else?

we already know vodaphone wont. (they said ...
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nextel18 said:
i dont think its a wise decision for DT to be selling tmobile usa...

voicestream was bought out by DT for approx 48 billion dollars in 2001, and the name was changed to tmobile as you guys know...

according to
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everyone here is absolutely entitled to their opinion on this, i just believe history and a few other issues provide counterpoints to a few of your (and other users) guesses. that's not to say they may not come true. but here's a few things we know fo...
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nextel18

Jul 14, 2005, 2:24 PM

Another interesting article i found

go to this link (https://www.phonescoop.com/carriers/forum.ph p?fm=m&ff=5&fi=328903) to check out the story and if you want to please voice your opinion on the matter.
Maarek

Jul 10, 2005, 9:28 AM

About Time

One of T-Com's only interest in VoiceStream was the Over Seas calling. $.99 per minute calling is one of the cheapest rates out there, but T-Mobile's coverage has not imporved in the past few years. Cingular Trippled their coverage in 1 year with the GSM system while T-Mobile still remains a City/Highway Cell phone company. I run into alot of people who have T-Mobile, wonder why they never get a signal, and the phone choices are so limited.
T-mobile was interested in voicestream because every corporation in the world wants a piece of the US Market if they can. this is the same reason why vodafone denies all interests until time comes to bidding.

Although it seems that T-mo is defin...
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VR6Yetta

Jul 5, 2005, 11:10 AM

dont be harsh

fist of all cingular is not going to buy tmobile. some of the things that are being said are incorrect. tmobile does not offer 2 year contracts. with the family time plans, mob2mob is free. and u say that tmobile doesnt have good custoemr service...then why did J.D. Power award Tmobile win 2 years in a row for customer satisfaction?
Since that statistic is "fine print". They were like #1 in the west region, and then #1 again in some microcategory. Their national coverage sucks. And in general so does their customer service.
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danj

Jul 6, 2005, 2:20 AM

Is this a cell phone page or a business 101 class?

...standard practice until the deal happens...wtf
pauldg

Jul 5, 2005, 3:37 PM

Can Vodafone compete against Verizon

Since vodafone has joint stake in Verizon Wireless, can they ethically purchase a competitor of theirs, don't they have some sort of obligation not to compete with V.W.? they wouldn't merge the network with v.w.(v.w. has nothing to do with GSM)
No offence, but what do buisnesses have to do with ethics? 😕
pauldg said:
Since vodafone has joint stake in Verizon Wireless, can they ethically purchase a competitor of theirs, don't they have some sort of obligation not to compete with V.W.? they wouldn't merge the network with v.w.(v.w.
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regine44

Jul 5, 2005, 8:35 AM

This what might happen

Possibly VodaPhone buys t-mobile and sells the rest of the its 45% partner ship to Verizon or some other comapny. there was an acticle posted two years ago on phonescoop.com maybe this what they are wating for.
https://www.phonescoop.com/news/item.php?n=412 »
That is absolutely what is going to happen.

It's no secret that Vodafone has wanted in the US market for a long time. Their interest in AT&T was undeniable proof. I don't feel they have any loyalty to the big red checkmark.

They will definitly l...
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motorola1

Jul 5, 2005, 7:40 AM

WSJ Link Bad?

uh, did you guys pay the fee to show a WSJ story????

it looks like you emailed the page to yourself and dats a nono.............
Whoops! 🤭 Thanks for pointing that out.

Fixed.

Although of course most people won't be able to see the article, but that's the WSJ... ☚ī¸
 
 
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