After a robust decade and a half following 1996 deregulation, large US telecom M&A has virtually evaporated since. The exception: T-Mobile US’ (TMUS) merger with Sprint, which closed April 1.
The merger of what were America’s third and fourth-largest wireless communications companies was anticipated long before the official announcement in April 2018. And there was little doubt from the start it would have the sympathy of the 3-2 Republican majority on the Federal Communications Commission, as well as the Trump Administration’s Justice Department.
Nonetheless, it took roughly two years to close the deal. And there’s still unfinished business, as the new company moves to complete the sale of the former Sprint’s prepaid wireless service business to Dish Network (DISH) by July 1.
The two big questions now are if post-merger T-Mobile US will able to continue growing, as it absorbs what have historically been problematic Sprint assets. And second, will the company’s performance justify what’s become the widest valuation premium ever to the rest of the industry?
Do you have a complaint about T-Mobile, such as hidden fees on your bill, lies by sales staff, or unsatisfactory service? Take your claim to FairShake, the consumer advocacy service.