It was just last year that two major mergers were announced: T-Mobile and MetroPCS and Sprint with Japan’s Softbank. However as far as major carriers are concerned, there are still four in the US with AT&T, Verizon, T-Mobile, and Sprint, although it could have been three if the AT&T and T-Mobile deal had gone through. In any case it seems that T-Mobiles CFO, Braxton Carter, believes that more consolidation in the US wireless market is in the cards for the future, and to that extent he also believes that a merger between T-Mobile and Sprint would be the “logical ultimate combination”.
When asked if both carriers had been talking to each other over such a possibility, Carter declined to say anything on the matter, leading us to think that if they had not been talking, he would have outright denied it. It does not mean that there is a deal taking place, but the idea that both carriers have toyed with the idea and possibility would not be a stretch of the imagination. Carter admitted that such consolidation could be hard due to government restrictions, especially in the face of the failed merger attempt by AT&T and T-Mobile, but at the same time a consolidation between Sprint and T-Mobile, usually viewed as the smaller two compared to AT&T and Verizon, would create a more competitive environment.RELATED