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Softbank confirms that it has agreed to acquire Sprint (S) in a deal worth $20.1B. The Japanese...

Softbank confirms that it has agreed to acquire Sprint (S) in a deal worth $20.1B. The Japanese mobile operator will purchase $8B in newly-issued stock and $12.1B in existing shares, giving the company a 70% stake in Sprint overall. Watch live press conference here.
Comments (9)
  • Energysystems
    , contributor
    Comments (1043) | Send Message
     
    Whew...they were looking at such a stake for reportedly 12.5B on friday. Good valuation for S, puts a thorn in the side of VZ in case they were having any outlandish ideas of buying out VOD lol
    15 Oct 2012, 08:40 AM Reply Like
  • ashtarir
    , contributor
    Comments (87) | Send Message
     
    This deal will have a significant impact to ATT and V in the long term. I think sprint is in route to take the number 1 spot over the next few years. Not to mention CLWR's TDD-LTE technology and spectrum will have a huge advantage over sprints competitors. Softbank is using identical technology in Japan, which should help reduce cost for both companies as they combine efforts if Sprint buys CLWR out. It will be interesting to see where the Sprint/CLWR partnership goes from here....Do they buy CLWR out, provide them will additional funding to complete their LTE network, or maybe buy/lease some of CLWRs spectrum to continue developing Sprint LTE? CLWRs current business strategy is to subsidies other smaller wireless carriers with LTE in high traffic areas. So it may be more benifical for sprint to buy/lease spectrum from CLWR and allow them to continue independantly op.
    15 Oct 2012, 11:41 AM Reply Like
  • Energysystems
    , contributor
    Comments (1043) | Send Message
     
    CLWR has 1.3 million direct customers, the rest of their "subscribers" are S's. I don't ever see S overtaking either T or VZ. A solid 3rd, but nothing more than that. And I've been a Sprint customer for the better part of a decade.
    15 Oct 2012, 12:02 PM Reply Like
  • ashtarir
    , contributor
    Comments (87) | Send Message
     
    Correct, but I see more direct customers and potential contracts with smaller wireless providers as CLWRs LTE network rolls out. If managed correctly I can see sprint stealing customers from ATT and Verizon as their customer contracts expire. Sprint still has an unlimited data plan which ATT and V no longer provide. I'm grandfathered in but if i were a customer with ATT or V I would take a serious look at jumping ship. Unfortunately sprints data services need improvement before people will be convinced. We will see in time.
    15 Oct 2012, 02:28 PM Reply Like
  • Aristiphones
    , contributor
    Comments (1327) | Send Message
     
    i seem S overtaking them. the fact of the matter is since the Government didn't regulate wi fi to begin with the need for a wireless incumbent is pretty dodgy anyways. if this does have the impact i expect it to have the why's and how's of letting the Government do whatever it wants to the telephone network "in the name of fighting terror" must be called into question.
    15 Oct 2012, 08:14 PM Reply Like
  • Aristiphones
    , contributor
    Comments (1327) | Send Message
     
    already am.
    15 Oct 2012, 08:14 PM Reply Like
  • supersaverguy
    , contributor
    Comments (63) | Send Message
     
    You have to think global here where TDD-LTE is 5-10 years ahead of the U.S. -- if anything S/Softbank is getting CLWR at a bargain.
    15 Oct 2012, 01:25 PM Reply Like
  • Aristiphones
    , contributor
    Comments (1327) | Send Message
     
    word is there is massive amounts of spectrum that can be sold for billions...we shall see. We may never know of course...
    15 Oct 2012, 08:15 PM Reply Like
  • ashtarir
    , contributor
    Comments (87) | Send Message
     
    True there is always more spectrum to buy but there is also lots of spectrum that is currently owned and is not in use (i.e. CLWR). I don't see more becoming available until whats out there is used and the market shares of the leading wireless telecommunication companies balance out. I dont see V and ATT getting more spectrum as it would only prevent the smaller companies from competing. IMO it will be a while before additional spectrum is auctioned out. Additionally you will probably see the larger companies phase out there legacy Edge/3G networks and shift those spectrums over to 4G/LTE over the next 5 to 10 years. Spectrum is like oil its all about supply and demand. There's still a lot of supply left to meet the demand. I'm sure that health may play a factor in the future use of unused spectrum also. Who knows what all this wireless technology has on the human body. For all we know cellphones could be the next cig.
    22 Oct 2012, 10:29 AM Reply Like
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