Several years ago, a recurring news item that seemed to spring up on a regular basis was the continuing saga of legal fights between Apple and their Android competitors. With those issues largely settled, a replacement for that void has appeared in the form of a merger involving wireless carriers Sprint and T-Mobile. After a potential merger fell apart last November following earlier attempts, new reports have surfaced that talks have re-opened between the companies.
At this point sources say the latest round of talks are very preliminary and as we have clearly learned over the years, it is quite possible no agreement will be reached. Notable though are reports that individuals with SoftBank and Deutsche Telekom, the financial backers of Sprint and T-Mobile respectively, are in the loop at this early stage. The CEOs of both banks have also made some public statements this past week about being open to a merger.
Little has changed since the last round of talks fell apart last November with both carriers maintaining their current market positions. John Legere, T-Mobile’s CEO, noted during the last round of talks that a deal “will have to result in superior long-term value for T-Mobile’s shareholders compared to our outstanding stand-alone performance and track record.” The inability to get over that hurdle is apparently what doomed the last effort and it is unclear how that may have changed in such a short amount of time.
Is anyone out there optimistic that a merger may actually happen this time around?