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Sprint and T-Mobile To Jointly Bid in 600 MHz Auction

marioc21

By marioc21
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marioc21 Member Level: eHRPD

marioc21

Posted
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Another day another story about Softbank/Sprint lining up financing for the merger. However, this one had a new nugget of information. It seems Sprint and T-Mobile are working on a joint venture to bid in the upcoming 600 Mhz auction independent of the merger itself. Not too many other details were disclosed.

 

Spectrum Venture
Sprint is asking banks for about $20 billion, while SoftBank is seeking a similar amount, one of the people said, asking not to be identified discussing private information. The funds will also be used to refinance some of T-Mobile’s borrowings, to fund operations, and in an auction of wireless airwaves, the people said.
Sprint and T-Mobile plan to bid for that spectrum together through a joint venture that is independent of the takeover, the people said.
...

Sprint and T-Mobile are also currently structuring the joint venture that will bid for a block of 600 megahertz airwaves to be auctioned by the U.S. government next year, the people said. The venture would be led by a separate management team and one of the two companies would have ultimate responsibility for the spectrum, one of the people said.
 

 

http://www.bloomberg.com/news/2014-07-14/sprint-said-to-plan-for-lengthy-review-of-t-mobile-deal.html?cmpid=yhoo

So I guess the basic idea is that one company would control the spectrum but lease it to the other? Not sure how else it would work.

 

And now FierceWireless joins the party. 

 

http://www.fiercewireless.com/story/report-sprint-t-mobile-form-jv-bid-600-mhz-incentive-auction/2014-07-15?utm_source=Twitter&utm_medium=Editor&utm_campaign=SocialMedia

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bigsnake49 Member Level: LTE Advanced

bigsnake49

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Posted

Another day another story about Softbank/Sprint lining up financing for the merger.  However, this one had a new nugget of information.  It seems Sprint and T-Mobile are working on a joint venture to bid in the upcoming 600 Mhz auction independent of the merger itself.  Not too many other details were disclosed.  

 

 

http://www.bloomberg.com/news/2014-07-14/sprint-said-to-plan-for-lengthy-review-of-t-mobile-deal.html?cmpid=yhoo

 

That's a great idea! No matter what, a joint venture makes a lot of sense. While they are at it make it a jv to build and operate a common network.

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chamb Member Level: 4G WiMax

chamb

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That's a great idea! No matter what, a joint venture makes a lot of sense. While they are at it make it a jv to build and operate a common network.

My thoughts exactly.  Start sharing a network.   At least in some areas, both could use the same network and still continue to use their own network at least for awhile.  Neither carrier should be building cell sites in low density areas.  The JV should be doing that with both companies being able to use the low density sites.  Share the network, the spectrum and the expenses.

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Rawvega Member Level: 4G LTE

Rawvega

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If nothing else, it would be a more economically way to build areas in Wyoming, the Dakotas, Montana, etc. The 'Dustbowl states' if I remember Legere's description correctly.

 

Sent from my SM-N900P using Tapatalk

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bigsnake49 Member Level: LTE Advanced

bigsnake49

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maybe the best thing is for them to form a JV for bidding on spectrum, then open each other's network for roaming and then a JV for network sharing, then they might as well merge.

Edited by bigsnake49
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floorguy Member Level: 4G WiMax

floorguy

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WSJ says T-Mobile likely to run the venture http://online.wsj.com/articles/sprint-t-mobile-could-raise-10-billion-for-spectrum-auction-1405445417 which seems to fall in line with the discussion that TMO would be the surviving brand in a merger.

What???

 

I cant see Softbank giving up control of something they just bought...

 

Not to mention Deutsche telcom wants out of the US..... 

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IamMrFamous07 Member Level: 4G WiMax

IamMrFamous07

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Posted

What???

 

I cant see Softbank giving up control of something they just bought...

 

Not to mention Deutsche telcom wants out of the US.....

SoftBank will still be in control. They will just name the new company tmobile

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hyun1120 Member Level: Digital

hyun1120

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SoftBank will still be in control. They will just name the new company tmobile

 

I would hate to see this happen as well.

Just from the visual perspective, I hate the magenta T logo.

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Nickel Member Level: 4G WiMax

Nickel

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I wonder if Dish will participate? And I would like to see USC grow and become more national

By "USC" I'm assuming you mean US Cellular, in which case I would highly doubt any plans for expansion.

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Fraydog Member Level: LTE Advanced

Fraydog

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Now Craig Muppet seems to think SoftBank could divest spectrum to get under the screen (194 MHz) to get the merger through. Not really crazy about this if it is true.

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Fraydog Member Level: LTE Advanced

Fraydog

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I'd prefer this configuration if Sprint must divest:

 

700 MHz 12 MHz

800 MHz 16 MHz

1900 MHz 50 MHz

AWS 50 MHz

BRS/EBS 64 MHz

 

Grand total : 192 MHz average.

 

Upcoming 600 MHz and AWS auctions do not count in the spectrum screen, FWIW.

 

This is a rough guide. Not meant to be 100 accurate.

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