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Why doesnt Cingular buy out T-moblie!?!?!?

xyzpdq123456

Oct 18, 2006, 8:32 PM
Duh... why doesnt cingular buy out t moblie and then they would have soo much coverage and be huge and then the name change to atand t would make it a whole new huge company!! That would be great!!
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RUFF1415

Oct 18, 2006, 8:48 PM
The two networks overlap in almost every location. A buyout would be pointless.
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dromant

Oct 18, 2006, 8:59 PM
and the FCC and Justice Department would never ok it without major restrictions and forced sales of markets which would make it even more pointless....
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nextel18

Oct 18, 2006, 9:05 PM
Well there could be many synergies with this deal, but do they outweigh the divestitures? I do not think so especially with the recent acquisition of 3G spectrum.

In addition, culture and the right price have to be a huge part and not sure if DT would sell one of their best growing segments.
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dromant

Oct 18, 2006, 9:11 PM
I agree, DT has no burning reason to sell T-mobile at this time, and they sure as heck dont need the money, if they did end up selling, i think whoever bought t-mobile would end up paying way more than its worth.
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nextel18

Oct 18, 2006, 9:22 PM
There is no need for Cingular to be buying out another company especially T-mobile because they do not really have a lot to offer besides a good customer base and recent purchase of 3G spectrum. In addition, Cingular needs to continue their efforts on the transition from TDMA to GSM platforms whether it is billing and networks. ATTWS merger was a mistake so I do not think they would want to do another potentially bad one.

Granted, there will be many synergies but as I mentioned before what about divestitures? ATTWS and Cingular had to divest millions upon millions of customers and other assets probably could be worth hundreds of millions (I forgot the exact number) so that is not good.

It is difficult now for T-mobile to buy especial...
(continues)
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texaswireless

Oct 19, 2006, 1:36 AM
Here we go again. Ripping the aquisition.
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the_eraser

Oct 19, 2006, 2:05 AM
say that the merger was a mistake? What are you? Crazy? If there was no merger Cingular would be where it is right now (3G speaking) 🙄
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rytr23

Oct 19, 2006, 4:48 AM
the_eraser said:
say that the merger was a mistake? What are you? Crazy? If there was no merger Cingular would be where it is right now (3G speaking) 🙄


I think you mean "..wouldn't be where it is right now (3G speaking)
🙂
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simplymarcus

Oct 19, 2006, 9:05 AM
The resources that AT&T wireless brought to the table was worth the risk. T-Mobile has very little to offer Cingular. The merger with AT&T wireless was not a mistake. You will see finally get it by the end of 07.
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nextel18

Oct 19, 2006, 4:46 PM
Yea, we will have to disagree to agree because I think the merger was a mistake. For $41B, they could have purchased a ton of new 3G spectrum in the auction and they will still be all right.
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RUFF1415

Oct 19, 2006, 5:51 PM
nextel18 said:
Yea, we will have to disagree to agree because I think the merger was a mistake. For $41B, they could have purchased a ton of new 3G spectrum in the auction and they will still be all right.

Ehem, agree to disagree, perhaps?

However, you can't buy that amount of spectrum, customers, increased revenue, a company name, physical assets (like towers that will double your coverage), restricted markets or power in the industry at an auction like you can otherwise do with spectrum.

Cingular received an all-inclusive package deal when they purchased AT&T Wireless...plain and simple.
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simplymarcus

Oct 19, 2006, 8:49 PM
ATTWS made more revenue than Cingular with less customers. To bad it was going out the door faster than they could make it. ATTWS gave cingualr a bigger presence in the corporate world. ATTWS was a favorite among major corporations. Cingular's presence in the corporate market had been lacking. Bottom line is ATTWS's customers generated more money. Nextel/Sprint is not doing so hot so far now that merger was a mistake.
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nextel18

Oct 20, 2006, 4:41 AM
Well ATTWS made some horrible decisions, which obviously started their demise, but they did have subscribers and spectrum, which is an enticer to anyone who will be the purchaser, but for $41B, I think it is too expensive because you can take the money and buy a lot of spectrum and towers. That is why I do not think the purchase was good, but perhaps I will be proved wrong, but so far, I am not happy. I think they will be a better company once the merger with BLS and AT&T goes through so that there will be one management team with one culture instead of what they currently have.

Well the Sprint/Nextel merger is going through some problems right now, but they will bounce back because they do have many good things working for them that man...
(continues)
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simplymarcus

Oct 20, 2006, 11:08 PM
A bit of me myth I need to clear up about GSM/TDMA conversion and integration. GSM/TDMA are very different the call routing and coverage issues took some time and hard work to fix. The reason Cingular bought ATTWS for 41 billion is Cingular tried to get into Arizona and other western markets and the FCC denied Cingular without any explanation. That is the reason they did not just buy towers and spectrum. They were looking to get into some of the higher growth markets the FCC denied Cingular access to.
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nextel18

Oct 23, 2006, 8:01 PM
Well, I know that whole situation too, but to spend that amount of money just to enter one market is a bit too much.. you can do better with buying spectrum. (Obviously they are entering others but you can do a lot more things with $41B with the upcoming auctions. {especially the past one})
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simplymarcus

Oct 23, 2006, 11:08 PM
That was just an example. There were more than a few markets that Cingular was denied access. Cingular was denied the opportunity to grow on it's own. Buying ATTWS was the quickest way to achieve what Cingular needed to achieve to be competitive with Verizon.
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nextel18

Oct 24, 2006, 2:27 PM
Oh, I understood. Of course buying the company is better but they need to be wiser about their decision because if a market is not that great to begin with, I would not enter it, and spending $41B I think is a bit too much with what they received.
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RUFF1415

Oct 23, 2006, 10:37 PM
It was the same situation with the Pittsburgh market.
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RUFF1415

Oct 19, 2006, 2:24 PM
nextel18 said:
ATTWS merger was a mistake so I do not think they would want to do another potentially bad one.

Nextel, are you honestly still insisting that the buyout of AT&T Wireless was a mistake?

Just explain one simple thing to me. HOW?!

There has been absolutely every bit of proof going against your beliefs. The buyout was ideal.

Now Sprint merging with Nextel is a whole other (real-life) horror story...
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crackberry

Oct 19, 2006, 2:51 PM
RUFF1415 said:
nextel18 said:
ATTWS merger was a mistake so I do not think they would want to do another potentially bad one.

Nextel, are you honestly still insisting that the buyout of AT&T Wireless was a mistake?

Just explain one simple thing to me. HOW?!

There has been absolutely every bit of proof going against your beliefs. The buyout was ideal.

Now Sprint merging with Nextel is a whole other (real-life) horror story...

after the buyout of at&t we had a slow quarter, what 850,000 adds... what was sprint/nextel numbers last quarter???????????? goes to show that cingular handled their merger better than spring.
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renardlee

Oct 18, 2006, 11:22 PM
not to mention more tower intergration and getting rid of redundancies, cingular just finished intergrating at&t wireless to cingular and im sure that costed them a LOT of money
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nextel18

Oct 18, 2006, 11:54 PM
Nonetheless, because of those overlaps there will be a lot of synergies, which could save those billions of dollars.
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nextel18

Oct 18, 2006, 9:03 PM
There would also be a lot of divestitures plus there might be a culture problem with the pending merger with BLS and AT&T and with DT.
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colione112

Oct 19, 2006, 4:15 AM
Not to mention all the pissed off people because they have to give up their 8million minute plan that they only pay 40 dollars a month for...

God, i'd hate to have to go through that mess!
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nextel18

Oct 19, 2006, 4:48 PM
Very true..
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colione112

Oct 19, 2006, 8:16 PM
It would be nice to get ahold of the sidekick though... although it'd be a very painful way to get that exclusive...
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nextel18

Oct 19, 2006, 8:39 PM
I would agree with that sidekick. It would be a good addition to the phone portfolio.
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colione112

Oct 19, 2006, 10:52 PM
Yea, but would the burden of T-Mobile be worth ONE phone line? lol 😳 🤣
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nextel18

Oct 20, 2006, 4:34 AM
Haha.

🤣

If they offered 8 million mins at $10 per month why not?
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sigmamason

Oct 24, 2006, 11:53 AM
You do realize that T-Mobile USA is just a small portion of a much larger company.
The Goodwill portion of that deal alone is worth Millions, not to mention all the rebranding cost, golden parachutes for top executives, etc...
This won't be a $20MM deal, this will be several hundred millions on the table not to mention the time lost waiting on the DOJ to say yes or no.
Strategically speaking, Cingular gains little or nothing with a deal like that and T-mobile gains nothing...
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