Home » T-Mobile » Recent Articles:

5G Hype: Current 5G Networks Are Fast, But Coverage Is Awful (And Phones Get Really Hot)

Verizon, AT&T, and T-Mobile’s 5G launches are blazing fast, when you can find a signal, but your phone will also get blazing hot while using it.

The Wall Street Journal embarked on testing current 5G launches in several American cities and found speeds on 5G nearing 1,800 Mbps in some places, but the millimeter-wave frequencies most carriers are using for mobile 5G don’t travel far and are subject to disappear just by walking down the street, around the corner, or indoors.

Some devices with 5G support are also suffering from heat issues, sometimes causing phones to heat up to over 105° and drop 5G service in favor of less battery-intense 4G LTE. Network engineers admit they bring coolers filled with ice to cool down overheating 5G phones.

Only Sprint’s mid-band 5G network in Chicago offered a much larger coverage area that still worked after walking indoors, and devices remained cool to the touch while using it. But Sprint’s 5G service sacrifices performance for coverage, often topping out at around 200-300 Mbps.

The Wall Street Journal found a reporter, a tent, and some new 5G devices and sent them out to test some of America’s new 5G services. (5:39)

Reuters: DoJ Ignored Bid from Charter Communications to Acquire T-Mobile/Sprint Assets

NEW YORK (Reuters) – Charter Communications submitted a proposal to the Justice Department to buy telecom assets being sold under the T-Mobile US and Sprint Corp combination, but never heard back from the agency, three sources familiar with the matter said.

U.S. officials decided to accept a deal to sell assets including Sprint’s Boost Mobile brand to satellite TV provider Dish Network to resolve antitrust concerns, ending extensive talks on a merger the Justice Department is expected to approve this week.

The Justice Department’s lack of response to Charter could raise concerns among critics of the $26.5 billion merger of wireless carriers T-Mobile and Sprint that officials did not weigh all divestiture offers before deciding on a deal with Dish.

Details of the proposal were not immediately known, but sources said this week Charter had requested that there be an auction process for the divested assets.

The Justice Department declined to comment. Charter was not immediately available for comment.

Ten state attorneys general, led by New York and California and including the District of Columbia, filed a lawsuit on June 11 to stop the merger, saying it would cost their subscribers more than $4.5 billion annually. Four more states have since joined the lawsuit.

Dish emerged as the leader to acquire the prepaid phone brand Boost Mobile, which T-Mobile and Sprint are selling in order to gain regulatory approval for their merger.

Charter began offering its own mobile service called Spectrum Mobile last year, which runs on Verizon Communications’ network. It served 310,000 mobile lines as of the first quarter.

Dish, which has been stockpiling billions of dollars worth of wireless spectrum, faces a March 2020 deadline to build a product using the spectrum in order to fulfill the requirements of its licenses. It has focused on building an Internet of Things network, with the goal of eventually having a 5G wireless network.

The Federal Communications Commission has indicated it is prepared to approve the Sprint and T-Mobile merger.

Reporting by Angela Moon and Sheila Dang in New York; additional reporting by David Shepardson and Diane Bartz in Washington; editing by Chris Sanders and Leslie Adler

Justice Dept. Ready to Approve T-Mobile/Sprint Merger

The Justice Department has helped engineer an approvable merger deal between T-Mobile and Sprint that will get antitrust regulators’ blessings as early as tomorrow, according to a report in the Wall Street Journal.

The sticking point that held up merger approval for weeks was the divestiture of certain wireless assets to Dish Network, which claims it will temporarily use Sprint and T-Mobile’s wireless networks to offer a new nationwide “fourth option” for cell phone service. Dish’s new cell phone service will come from a $1.4 billion acquisition of prepaid carrier Boost Mobile, which currently relies on reselling Sprint’s 4G network. Dish would inherit Boost’s nine million customers. Dish will also be able to lease access to T-Mobile and Sprint’s existing wireless networks for up to seven years while it builds out its own network of cell towers. The deal also includes a guarantee that Dish can pay $3.6 billion to acquire 800 MHz wireless licenses held by Sprint.

The Justice Department claims that lower frequency spectrum will allow Dish to service rural communities, assuming Dish is willing to invest in cell tower construction in high cost, low return areas.

Regulators in the Trump Administration’s Justice Department claim shaving assets from a super-sized T-Mobile will preserve the competition that will be lost when Sprint becomes a part of T-Mobile. But Dish will emerge as a miniscule player with only a fraction of the 100+ million customers that AT&T and Verizon have, and at least 80 million customers signed with T-Mobile. One of the core arguments T-Mobile and Sprint made in favor of their merger was that each was too small to afford to deploy 5G service quickly and efficiently. Dish will have even less money to build out a basic 4G wireless network.

Another merger requirement for the combined T-Mobile and Sprint will be mandatory support for eSIM, which allows consumers to change wireless carriers quickly without investing in a physical SIM card. But that requirement will not impact AT&T or Verizon Wireless, which both continue to push physical SIM cards on the much larger customer bases.

If the Justice Department does publicly approve the merger, the last hurdle the wireless companies will have to overcome is a multi-state lawsuit filed by attorneys general that argue the merger will impact low-income customers and is anti competitive. That court case is unlikely to be heard until late fall at the earliest.

CNBC’s David Faber reports that T-Mobile and Sprint have settled with the Department of Justice to go through with their merger deal. (6:14)

CNBC: Justice Dept. Gives T-Mobile/Sprint Merger One Week to Settle Issues

WASHINGTON (Reuters) – The U.S. Justice Department would sue to block the merger of T-Mobile US Inc and Sprint Corp if the parties do not settle next week, CNBC reported on Thursday, citing sources.

T-Mobile and Sprint did not immediately respond to Reuters requests for comment. The Justice Department declined to comment.

In June, a group of U.S. state attorneys general filed suit to block the merger, arguing that the deal would cost consumers more than $4.5 billion annually.

To win over the Justice Department, which is not involved in the lawsuit, T-Mobile and Sprint have agreed to a series of deal concessions, including selling the prepaid brand Boost.

The companies have been in talks for weeks to sell Boost to Dish Network Corp but are haggling over issues such as restrictions over who can buy the divested assets if they are sold in the future, with T-Mobile and Deutsche Telekom seeking to prevent them from going to a cable or technology company.

T-Mobile is about 63% owned by Deutsche Telekom and Sprint is controlled by Softbank Group Corp.

The companies told the court in late June that they were willing to refrain from closing the deal until after the state attorneys general case is completed.

The two companies have a July 29 deadline to complete the deal but are expected to extend it.

Federal Communications Commission chairman Ajit Pai has given his blessing to the merger in principle and is expected to circulate a formal order within weeks.

Reporting by David Shepardson and Diane Bartz in Washington and Akanksha Rana in Bengaluru; Editing by Sonya

CNBC’s David Faber reports the biggest stumbling block in the merger is a fear Dish might sell its wireless service to a cable company. T-Mobile wants contract language restricting that possibility. (5:13)

 

Dish Nears Deal to Acquire Boost Mobile, Clearing Path for T-Mobile/Sprint Merger

Dish Network Corporation is in the final stages of talks to acquire assets that include valuable wireless spectrum and Sprint’s Boost Mobile brand for an estimated $6 billion, according to a report quoting anonymous sources published by Bloomberg News, clearing the way for the Department of Justice to approve the merger of T-Mobile and Sprint.

Dish could announce a deal as soon as this week, but sources caution the talks are still ongoing and a deal might still fall apart. A spinoff of Boost is reportedly essential for the Antitrust Division at the DoJ to approve the merger, because the regulator reportedly wants to preserve four national wireless carriers to protect wireless competition in the United States.

Dish has already warehoused extensive wireless spectrum, much of it potentially valuable for the future deployment of 5G wireless networks, but Dish has historically held its spectrum without launching any significant wireless operations. If Dish does acquire Boost, the deal will come with a pre-existing contract allowing the prepaid Mobile Virtual Network Operator (MVNO) to continue to use Sprint’s network to service its customers. Dish would also receive a portion of spectrum held by T-Mobile and/or Sprint with which it could build its own wireless network, but that would require billions in new investments from a satellite TV provider already under financial stress from the impact of cord-cutting.

At worst, the transaction could allow Dish to increase its spectrum holdings while running Boost’s existing prepaid wireless operation as-is, dependent entirely on Sprint for connectivity. If the merger is successful, T-Mobile plans to mothball a significant portion of Sprint’s CDMA wireless network, which could eventually force Boost to find a new host for its wireless services.

Wall Street analyst MoffettNathanson remains skeptical about the T-Mobile/Sprint merger and is even more puzzled by Dish’s reported involvement. The analyst firm released a research note to its clients warning the future of Boost may be bleak:

We’re not sure why that deal is sensible for anyone involved. Dish, remember, already has more spectrum than they know what to do with; what they lack is money and ground facilities, and the deal described on Friday wouldn’t deliver either one. Instead, it would make both problems worse. And while Boost would help provide a baseline revenue stream in return for an upfront purchase price, the fit between Boost and Dish is, at best, superficial. Yes Boost serves a budget conscious consumer, as does Dish Network’s satellite business, but Boost is a mostly urban brand and Dish’s satellite business is an increasingly rural one.

And, more urgently, Boost’s distribution poses a huge problem. Historically, Boost was heavily dependent on Walmart for retail gross additions, but they’ve since lost that distribution channel. They would also, presumably, lose distribution through Sprint-branded stores (and even if, as a condition of the deal, they didn’t, does anyone think that Sprint/T-Mobile store employees would direct any volume to a spun off Boost brand?) That would leave Dish with the brand that has a churn rate as high as 5% per month to be spun off with an inadequate distribution front end, and with no realistic path to replace that front end before the subscriber base was, well, gone.

BTIG’s Walter Piecyk appeared on CNBC Monday to warn investors they are being too optimistic about the T-Mobile/Sprint merger’s chances of being approved. He puts those chances at “less than 50-50.” (5:38)

In contrast, Dade Hayes, contributing editor at Deadline, believes the deal will ultimately win approval from the Department of Justice. He talks to Cheddar about what T-Mobile and Sprint are doing to win over regulators. (8:14)

Search This Site:

Contributions:

Recent Comments:

  • Patricia Garcia: What gets me is that despite the state aid for and requirement to expand, they have refused to expand to our home or the rest of the road which has 15...
  • Doug: Time to walk away.. The cable operators know that customers like to buy by price, not necessarily amount. There is a reason why a "one pound" coffee...
  • Tim: Comcast needs to drop the $11.99 from my contract since I am no longer getting Cinemax. Hitz is garbage. I watch the original programming on Cinemax w...
  • Dona Pruitt: I am appalled at Comcast for doing this to it's customers, especially all of the older customers. I have been with Comcast since 2005. All of you are ...
  • Willie C Branagan: iI am continually repulsed by the fact that (WEAK) New York State's Attorney General keeps providing Spectrum with extensions. They are not going to ...
  • Damien Thomas: I disagree...I recently moved back here to Rochester (my hometown) from portland Oregon- my first time out west- and they have comcast which has Xfini...
  • Nona: I would like to lodge a complaint against Spectrum Assist in North Carolina. I called on July 1, 2019 and had my sister approved based on a flier th...
  • Charles Nemitz: I ordered spectrum internet online and was given a price. My first bill had a 9.99 one time charge for self install. I pay you to self install? Somebo...
  • Paul Houle: Funny but I noticed that FTR was doing some work on the lines between my house and the CO. When I took a closer look I saw that they ran a fiber opti...
  • Phillip Dampier: I would definitely suggest people who do not like this change call, complain, and threaten to cancel Comcast unless they offer you a better deal. This...
  • Amy: It's such a scam. According to Comcast data we were using 1.5TB month, Even though we have unlimited phones through Verizon. I refused to pay and now...
  • Renee Myers: Grandfathereing people out of Cinemax is not right at all. Reduce my bill, dont give me a garbage channel that has anything worth watching!...

Your Account: