T-Mobile and Sprint are looking to merge and are looking to capitalise their combined markets to create a nationwide 5G network. The 5G network is the next generation of mobile internet with speeds of between 15x to 100x faster than 4G networks.
T-Mobile and the plans
According to John Legere, who is set to be the Chief Executive Officer, “This combination will create a fierce competitor with the network scale to deliver more for consumers and businesses in the form of lower prices, more innovation, and a second-to-none network experience – and do it all so much faster than either company could on its own. As industry lines blur and we enter the 5G era, consumers and businesses need a company with the disruptive culture and capabilities to force positive change on their behalf.”
“The combination of these two dynamic companies can only benefit the U.S. consumer. Both Sprint and T-Mobile have similar DNA and have eliminated confusing rate plans, converging into one rate plan: Unlimited,” said Marcelo Claure, current CEO of Sprint and future board member of the new T-Mobile. “We intend to bring this same competitive disruption as we look to build the world’s best 5G network that will make the U.S. a hotbed for innovation and will redefine the way consumers live and work across the U.S., including in rural America. As we do this, we will force our competitors to follow suit, as they always do, which will benefit the entire country. I am confident this combination will spur job creation and ensure opportunities for Sprint employees as part of a larger, stronger combined organization, and I am thrilled that Kansas City will be a second headquarters for the merged company.”
The next generation of 5G
T-Mobile believes that 5G capabilities will transform how people work and share information due to the higher capacity and speeds of the next generation of mobile internet. The plan from T-Mobile is to create the highest capacity network in US history, building on its unlimited data plans. Currently, T-Mobile has a 600 MHz spectrum nationally while Spring is using a 2.5GHz spectrum.
5G technology will help a lot with the rise of devices that are part of the internet of thing (IoT) revolution. With the number of devices using mobile networks, the increasing of capacity within networks is a big plus for internet users.
“This isn’t a case of going from 4 to 3 wireless companies – there are now at least 7 or 8 big competitors in this converging market. And in 5G, we’ll go from 0 to 1. Only the New T-Mobile will have the capacity to deliver real, nationwide 5G,” added Legere. “We’re confident that, once regulators see the compelling benefits, they’ll agree this is the right move at the right time for consumers and the country.”