There are talks going on between Dish Network and T-Mobile that might see the two companies coming together to form a formidable competitor in the communications industry. A source that insisted on anonymity confirmed to CNNMoney about the talks that were first outlined by the Wall Street Journal. But when contacted, the representatives of both companies declined to deny or confirm the talks.
The merger is logical in the sense that Dish Network has been acquiring vast amounts of wireless spectrum that T-Mobile could put into use. We expect the two companies to come up with new products and services using the spectrum; both companies’ connections to millions of households and Dish Network’s relationships with major media companies.
There is still no word on the structure of an eventual combination of the two companies or the purchase price. However, the Wall Street Journal said the two companies are “close to an agreement” about a leadership team. Charlie Ergen, Dish Network’s Chief Executive may become the company’s chairman, while John Legere, his T-Mobile counterpart could serve as the combined company’s CEO.
The merger talks are coming at a dramatic period when many telecommunications firms are trying to consolidate. For example, AT&T is trying to merge with DirecTV. AT&T is one of the T-Mobile’s larger rivals, while DirecTV is in fierce competition with Dish Network. Last week also saw Charter Communications announcing a plan to merger with Time Warner Cable to create a stronger competitor to the No. 1 cab.
The T-Mobile brand is present in many European countries including United Kingdom, Austria, Slovakia, Croatia, Romania, Czech Republic, Poland, Hungary, Netherlands, Republic of Macedonia, Montenegro, among others. It is also present in U.S. Virgin Islands, Puerto Rico and United States. T-Mobile has many mobile communications subsidiaries operating LTE-based cellular networks, UMTS and GSM. T-Mobile’s International subsidiaries have a combined total of approximately 230 million subscribers.
T-Mobile’s international subsidiaries have a combined total of approximately 230 million subscribers. It is the world’s 15th largest mobile phone service provider and the 4th largest multinational.
Dish Network provides audio programming, satellite internet, satellite television, and interactive television services to many residential and commercial customers in the U.S. The company has about 19,000 employees and serves over 10 million subscribers. Its headquarters is in Meridian, Colorado.