RWA Applauds Sprint and T-Mobile Decision to Remain Independent U.S. Consumers Better Served by Having Four Nationwide Mobile Wireless Carriers The Rural Wireless Association, Inc. RWA is pleased and relieved to learn that Sprint Corporation Sprint and T-Mobile US, Inc. T-Mobile will each continue to operate as independent, facilities-based nationwide carriers. Numerous media sources reported yesterday that the board of directors of Sprint has permanently abandoned its quest, along with parent company SoftBank Corp., to purchase T-Mobile.
The statement below may be attributed to Daryl Zakov, RWA’s Assistant General Counsel.
“While Sprint and T-Mobile each face legitimate challenges in the coming years, a tie-up today between the 3rd and 4th nationwide carriers is in no way conducive to long-term marketplace competition in the U.S. Since 2011, the FCC and DOJ have routinely, and very appropriately, signaled to the leadership of both companies that a potential merger is not in the public interest. The U.S. mobile industry is presently experiencing a lack of meaningful competition. It is not healthy. But this is one of those instances where the trumpeted cure of ‘consolidation’ would have been more harmful than the disease itself. Clearly, T-Mobile and now Sprint have finally recognized that their valuable time and financial resources are better spent expanding separate LTE networks in the United States that directly compete against the likes of AT&T and Verizon. To the extent Sprint and T-Mobile wish to roam or perhaps even partner with RWA members in rural markets, our door is always open.”
About RWA – Headquartered in Washington, D.C., RWA – the Rural Wireless Association is a trade association representing rural wireless carriers who each serve fewer than 100,000 subscribers. RWA’s members have joined together to speed delivery of new, efficient and innovative telecommunications technologies to remote and underserved communities. For more information visit www.ruralwireless.org