After failing to merge with AT&T, T-Mobile USA now in talks to acquire MetroPCS

After failing to merge with AT&T, T-Mobile USA now in talks to acquire MetroPCS

MetroPCS is in talks with Deutsche Telekom to merge with T-Mobile USA. While no agreement has been reached, the two companies are in ongoing discussions. This acquisition would add a potential 9 million subscribers to T-Mobile USA's user base. In a press release, the Dallas-based MetroPCS stated that they are in ongoing discussions to merge with the beleaguered fourth-place carrier:

MetroPCS today confirmed that it is in discussions with Deutsche Telekom regarding an agreement to combine T-Mobile USA and MetroPCS. There can be no assurances that any transaction will result from these discussions, and the Company does not intend to comment further unless and until an agreement is reached.

Acquiring MetroPCS would be of great material benefit to Deutsche Telekom. T-Mobile USA has struggled for years against Verizon, AT&T, and Sprint for subscribers. Last year, AT&T attempted to acquire T-Mobile, but withdrew their acquisition bid after the US government raised serious antitrust concerns. The acquisition of MetroPCS would shore up subscriber numbers for T-Mobile. Additionally, MetroPCS already has an active LTE network, which would greatly supplement T-Mobile's own efforts, set to begin their rollout in early 2013.

Unlike T-Mobile's failed merger attempts with AT&T, joining forces with Metro PCS wouldn't give T-Mobile the one other thing they're still sorely lacking -- the iPhone, though it could better position them to try and strike a deal with Apple in the future.

Until then, merger or no merger, when it comes to T-Mobile it'll remain bring-your-own- iPhone.

Source: PR Newswire

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Joseph Keller

Joseph Keller is a news reporter for iMore. He's also chilling out and having a sandwich.

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After failing to merge with AT&T, T-Mobile USA now in talks to acquire MetroPCS

4 Comments

I'd say they are solely lacking the footprint that other carriers have which is why they have such a small user base. The iphone would be a nice addition but with spotty coverage in most places people aren't going to switch to them.

your coment, which I suppose is in reference to T mobile is all relevent. I had T mobile for 10 solid years, since they were voicestream. Not only do they have EXELLENT customer serivce but they have the most inexpensive plans for any of the major 4. It is all relevent as to where you live and where you go. In my geograpical area, which is in Tampa Bay, florida, T mobile has BETTER coverae than Verizon and has the whole area blanketed with coverage. In 10 years, wherever I went on vacation - Great Smokies, Daytona, Charlston, S.C. I NEVER had a problem making or receiving a call or sms with T mobile. I left T obilefor one and onlhy one reason - I wanted an ihone because I was getting bored with blackberry and I did not have the extra money to buy a factory unlocked version from apple to keep T mobile and did nottrust ebay or craigslis with suchan expensive purchase. Although Verizon is also great, I am VERY restricted with them, paying almost$30 more/month for many less text mgs, much less talk time and same amount of data. They are plainly too expensive with their plans. I got unlimited EVERYTHING including 5gb data fromT mobile all for $79/month where I have to pay $109/month for only 500 texts, 900 min of talk and 2gb data. If I ha an extra $549 to spend on a factory unlocked 4S, I would go back to T mobile in a heartbeat even if it meant early temination of my Verizon contract. The oher great thing about Tmobile is they use somthing called UMT network where even in bad coverage areas you can, with no charge, pair your phone with your home wi-fi and make calls and receive data over your home's router. If you haven't experienced T mobile, I could understand the hesitency,but I cannot and will never stop saying great thingsabut them.