SoftBank agrees to go ahead with T-Mobile merger deal
SoftBank is reported to be satisfied with negotiations with Deutsche Telekom and has agreed to terms set out for a merger for their US subsidiaries, Nikkei reports. No actual terms have been disclosed for a combination of Sprint and T-Mobile.
The two carriers have been growing their business, the former more slowly than the latter. If combined, they would still assume T-Mobile’s current third-largest network position in the United States by usership, but they would only be behind AT&T by about 3 million subscribers.
It was previously reported that should the deal crumble under regulatory scrutiny from the FCC and the Department of Justice, Sprint and T-Mobile would not give each other break-up concessions — AT&T had to give spectrum and cash to T-Mobile when its acquisition bid in 2011 failed — though SoftBank may ask for a termination fee.
A merger between Sprint and T-Mobile also fell apart in 2014.