Sprint, T-Mobile Could Finalize Merger Over Next Three Days (Report)

Sprint and T-Mobile are in advanced merger talks, and are looking to finalize the terms of such a deal in the next three days, Reuters reported Friday. Combined, the two companies would serve over 127 million wireless customers.

The two companies have been in on-and-off talks for years. Previous negotiations broke down over disputes on who would call the shots in a combined entity. Reuters reported Friday that T-Mobile owner Deutsche Telekom might be able to control the combined company’s voting shares and consolidate it on its books.

Sprint owner Softbank may still own up to 60 percent of the combined entity, according to the reports. The two companies are also in talks to raise the necessary capital to finance the deal. Both companies were close to striking a deal in November, but ultimately called it off.

A partnership between the two wireless carriers will inevitably have a significant impact on the media world as well, and perhaps even spur a new wave of media investments. Both Sprint and T-Mobile have made their own media moves in the past. T-Mobile acquired cable upstart Layer 3 TV in December, and at the time announced plans to launch a nationwide internet TV service in 2018. And Sprint acquired a 33 percent stake in Jay Z’s music streaming service Tidal a little over a year ago.

Combined, the two carriers would have a better chance at taking on wireless market leaders AT&T and Verizon, both of which have extensive media holdings. Verizon operates its own TV service, and has made significant media investments with the acquisitions of AOL and Yahoo.  AT&T not only operates its AT&T Uverse and Directv services, but also has an internet TV service with Directv Now. And then there is AT&T’s proposed acquisition of Time Warner, which the company is currently  defending in court.



More Digital

  • Discovery Names Andrew Georgiou Eurosport and

    Discovery Taps Andrew Georgiou as Eurosport and Sports Rights Boss

    Andrew Georgiou has been appointed president of Discovery-owned Eurosport. The sports channels and streaming service has been without a chief since Peter Hutton left for Facebook. Georgiou assumes a wider role than Hutton, running Eurosport as well as overseeing sports rights and marketing across Discovery. It has been moving aggressively into the sports sector, licensing [...]

  • Can a Studio Make Movies for

    Listen: Can a Studio Make Movies for VR?

    STX Entertainment is best known for movies like “The Upside” and “Ugly Dolls,” but it also has a division dedicated to creating virtual-reality movies like the recent action short “The Limit.” STXsurreal is working on over a dozen films in a variety of genres, according to its founders, Rick Rey (pictured, right) and Andy Vick. [...]

  • Kathryn Friedrich

    Condé Nast Entertainment Taps Ex-RYOT Studio Head Kathryn Friedrich for New Role

    Condé Nast Entertainment hired Kathryn Friedrich, a YouTube and Google alum who most recently headed Verizon’s RYOT Studio, to the newly created role of EVP, operations and general manager. Friedrich started in the new gig this week, reporting to Condé Nast Entertainment president Oren Katzeff, who joined the company last year from Tastemade. Based in [...]

  • NRA TV

    NRA Scuttles Original Production for Streaming-Video Site

    The NRA will shut down production of new content for its streaming-video NRATV outlet, The New York Times reports. The report said the gun-rights lobbying organization may continue to run older content on the broadband outlet, but it will no longer feature Dana Loesch and other regular hosts in live programming. The demise of programming [...]

More From Our Brands

Access exclusive content