Mar 8, 2008

T-Mobile parent company to buy Sprint?

Deutsche Telekom, parent firm for T-Mobile, is considering a buy out of Sprint, which could certainly shake the mobile market to its core if such an acquisition takes place. Merrill Lynch comments about the possibility of a Sprint takeover, discussing economic factors that could lead to such a deal.

For one, the new addition of the Sprint Simply Unlimited plan could set off a pricing-war with T-Mobile that the German firm just can't afford, making it a better investment to just purchase the company out-right. The acquisition could also stir up some problems with networking, making T-Mobile drop their GSM service of cutting out CDMA off from Sprint. Are the positives enough to out weigh the negatives?

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