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Between the Lines

Larry Dignan, Andrew Nusca and Rachel King

Sprint proposes ways for AT&T to meet demand growth without T-Mobile

By | June 20, 2011, 4:55pm PDT

Summary: Sprint is one of the biggest opponents to the proposed merger of AT&T and T-Mobile. So how is Sprint trying prevent FCC approval now? By giving AT&T some advice.

Sprint is one of the biggest opponents to the proposed merger of AT&T and T-Mobile. So how is Sprint trying prevent FCC approval now? By giving AT&T some advice.

The nation’s third largest carrier is expected to deliver another filing to the Federal Communications Commission on Monday afternoon refuting AT&T’s claims that it needs T-Mobile to meet its customer’s demands.

Here’s a snippet from Sprint’s official statement ahead of the release:

Sprint will present a detailed technical analysis explaining how AT&T could increase its network capacity by more than 600 percent by 2015 without subjecting the country to the anti-competitive and anti-consumer harms associated with its proposed takeover of T-Mobile. This capacity increase could more than meet AT&T’s projected data service demand growth through and beyond 2015 for a fraction of the cost of its proposed $39 billion takeover of T-Mobile.

AT&T could increase its capacity by developing its warehoused spectrum, accelerating its 4G network buildout, and implementing a more efficient network architecture, just as other wireless carriers around the world are doing today.

Although Sprint argues that consumer groups and members of Congress have sided with it on this debate, the mobile provider has been one of the few extremely vocal opponents to the deal.  (Although some other public interest groups, such as Public Knowledge, are also reportedly submitting reports questioning AT&T’s proposals.)

Even Verizon hasn’t piped up as much, but Sprint will find itself in more of a hole than Big Red if everything goes as AT&T plans.

Plenty of other venture capital firms and tech giants, such as Facebook and Microsoft, have penned letters of their own in support of the merger’s approval, likely because they would all have something to gain. Obviously, Sprint does not.

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Rachel King is a staff writer for ZDNet based in San Francisco.

Disclosure

Rachel King

Rachel King has no business relationships, affiliations, investments, or other potential conflicts of interest relating to the content posted in this blog.

Biography

Rachel King

Rachel King is a staff writer for CBS Interactive in San Francisco. Before serving as a contributing editor at ZDNet in New York City for two years, she previously worked for The Business Insider, FastCompany.com, CNN's San Francisco bureau and the U.S. Department of State. Rachel has also written for MainStreet.com, Irish America Magazine and the New York Daily News, among others. Rachel has a B.A. in Mass Communications and History from the University of California, Berkeley and a M.S. in Journalism from Columbia University, where she served as art director for the student magazine, Plated.

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RE: Sprint proposes ways for AT&T to meet demand growth without T-Mobile
talih Updated - 8th Aug
Well done! Thank you very much for professional templates and community edition
sesli chat sesli sohbet
Yeah the problem with Sprints advice is it won't allow for future AT&T price control . Did you hear AT&T will spread wireless broadband across the country no matter how much money it would cost or how unprofitable it is ? If you are going to do that you really need price control . To get it you really have to eliminate competition . Resource management and efficiency just won't allow AT&T to blindly raise prices . I don't see AT&T following Sprints advice .
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so that Sprint can come in and attempt to purchase T-Mobile for a lessor price.

Sprint could not manage their own business well, and they are offering AT&T advice on how to manage theirs?

I find this advice very self-serving to Sprint.
@Mister Spock
Not sure I agree with you. I think sprint is more worried about being in business long after this deal goes through. This deal is bad for competition and consumers.
@Mister Spock -- ATT couldn't manage a little league baseball team, much less a telephone network,
The FCC would block a T-Mobile purchase by Sprint after all the noise that Sprint has made opposing the M&A by AT&T. The only way Sprint would benefit is if T-Mobile was broken apart, and parts sold off (i.e. clients info, contracts, spectrum, antennas, trademarks, etc). Otherwise, Sprint wants to block this merger because AT&T having so much power is very bad for it's negotiating leverage with phone vendors, shut it out of future spectrum auctions, get them a worst deal in negotiating roaming agreements, etc so believe me Sprint is not interested in buying T-Mobile nor could they afford it as they are not exactly profitable lol not to mention that a lot of it's money is tied up in the Clearwire investment anyway. AT&T cannot not be allowed to become so big as their track record in quality assurance and delivery of advertised services is pretty bad... why would you reward a bad company with more power? Oh yeah, that's right! Because they have more lobbyists and contribute more money to special interests on Capitol Hill than any other company in the world!
Well done! Thank you very much for professional templates and community edition
sesli chat sesli sohbet

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