Mobile, Sprint Call Off Merger Talks

With T-Mobile Deal All But Dead, Softbank Looks To Charter

T-Mobile said Saturday that while the company believed a merger with Sprint could have been beneficial for consumers, it is ultimately more confident in its ability to go it alone.

The companies' unusual step of making a joint announcement on the canceled negotiations could indicate they still recognize the merits of a merger and could keep the door open for potential future talks.

T-Mobile has allegedly now made a new proposal, the terms of which aren't known, and it's said that a deal could be a reached within weeks (though it's not the first time we've heard that regarding this particular partnership). "However, we have agreed that it is best to move forward on our own", said Marcelo Claure, Sprint's CEO.

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Wireless carriers Sprint and T-Mobile called off a potential merger, saying the companies couldn't come to an agreement that would benefit customers and shareholders.

Sprint has sought to strengthen its balance sheet by cutting costs.

It comes as Sprint has somewhat struggled in an increasingly competitive U.S. mobile market. German majority owner Deutsche Telekom, which owns roughly 65 percent of the US carrier, was the first major carrier to eliminate two-year contracts, a shift quickly embraced by consumers and copied by competitors. While Deutsche Telekom would have preferred a deal, T-Mobile still has its unconventional CEO John Legere at the helm, ready to continue taking the fight to Verizon and AT&T. But with the new Trump administration, it was thought regulators might be more relaxed about a merger. It slipped behind T-Mobile to become the country's fourth biggest mobile provider, and has a significant amount of debt.

Manhattan attack: Federal Bureau of Investigation found second Uzbek man in relation to truck attack
Federal prosecutors in NY have filed terrorism charges against an Uzbek immigrant in the deadly truck attack on a NY bike path. This image released by the Federal Bureau of Investigation shows the seeking information poster for Mukhammadzoir Kadirov.

T-Mobile, on the other hand, is still the fastest growing and most innovative carrier in the states.

Legal experts also said earlier this year that it was hard to predict whether the current administration would be more receptive of a deal.

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