T-Mobile and Sprint have been in a 'will they, won't they' relationship about a possible merger for years now, and, it seems that things might finally be coming to a head soon. A new report by Reuters suggests the two carriers may have already agreed on preliminary terms for an agreement and could announce the move as soon as next month.
This isn't the first time that we've seen reports indicating a near-done deal on the merger, however, as the two companies were believed to be more or less set to merge three years ago, at a time when T-Mobile was a much smaller player in the market than it currently is and Sprint was the bigger whale. FTC regulations prevented a merger of this nature then, due to competitive concerns; that has paid off particularly well for T-Mobile which has now gone from being the weaker party to the dominant force of the merger.
In the years since, T-Mobile has rejuvenated its business with a series of bold and innovative initiatives under its Uncarrier campaign and the leadership of CEO John Legere, even bypassing Sprint to become the third largest carrier in the US.
This changing of the guard is clearly visible in the new terms of the deal, which would see T-Mobile owner Deutsche Bank gaining a majority stake in the new company and leave Legere holding the reins of the combined behemoth. FTC approval is also believed to be far easier this time around with a new administration in the White House, meaning the deal may very well pass through this time around.
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