Earlier this year, T-Mobile, one of the big three mobile carriers in the United States, came to an agreement with US Cellular, a smaller mobile carrier, to buy its network and spectrum assets as well as take on its customers. T-Mobile paid a massive $4.4b for this privilege.
While the deal is yet to be completely finalized, both teams have been said to be “fired up” about it. According to the CEO of T-Mobile, it will also bring a lot of advantages to the table, not just for US Cellular users but for T-Mobile subscribers as well.
T-Mobile’s CEO Says Both Teams Are Excited Towards Finalizing The US Cellular Acquisition
Back in May this year, it was announced that T-Mobile was going to swallow US Cellular, nearly whole, to take hold of its spectrum and network assets, in addition to its entire customer base. Needless to say, that’s a lot to take on, so it explains why the total bill for this deal came up to $4.4b.
However, at the moment, the deal is yet to close in its entirety and is expected to be finished near the midway point of next year, according to T-Mobile’s CEO, Mike Sievert, who made this known at the company’s third-quarter earnings call. He made it known that the carrier is currently in a planning phase with US Cellular and said that both teams are “fired up” about the potential of the deal.
The Deal Should Bring Perks For The Both T-Mobile And US Cellular Subscribers
If you’re a US Cellular subscriber, you might be wondering what your fate is now that your carrier is being devoured by a larger one. Well, if T-Mobile is to be believed, nothing is going to change for the worse in your experience. In fact, they say that things will only get better. You’ll still be a US Cellular user but you’ll be switched over to T-Mobile’s tariffs, which should offer you lower prices.
And if you’re a T-Mobile user, there’s still something in it for you too. Sievert says that both T-Mobile and US Cellular users will be able to enjoy a “better network experience” once the integration of the two networks is completed. That’s a relatively vague phrase, but I’d assume it means better connectivity in terms of range and I don’t think anyone can hate that.
T-Mobile Is Aiming For Dominance And Its Q3 Numbers Could Show It Getting There
T-Mobile is the second-largest network carrier in the United States, trailing behind Verizon. Acquiring US Cellular and its customers will serve as a massive boost for T-Mobile’s hold on the industry, but even aside from that, the company showed very healthy growth this quarter.
This quarter, the company had 865,000 postpaid lines added to its network, which is the highest that it has done in a Q3 in the last decade. That puts it above AT&T and Verizon’s equivalent numbers for this quarter. That’s impressive. The company also saw increases in its revenue and net income.
