T-Mobile, Sprint Abandon Mega-Merger Talks
Talks on a melding of the third- and fourth-largest U.S. wireless providers have ended after failing to agree on mutually agreeable terms.
Wireless giants T-Mobile US and Sprint on Saturday said they have ended talks towards a mega-deal that would have merged the two and created a company to better compete with AT&T and Verizon.
The companies jointly said they couldn't strike mutually agreeable terms. "The prospect of combining with Sprint has been compelling for a variety of reasons, including the potential to create significant benefits for consumers and value for shareholders," John Legere, president and CEO of T-Mobile US, said in a statement.
"However, we have been clear all along that a deal with anyone will have to result in superior long-term value for T-Mobile’s shareholders compared to our outstanding stand-alone performance and track record,” he added.
The two firms, currently the third- and fourth-largest U.S. wireless providers, had been in talks for months.
Together, they would have had annual revenues of around $70 billion and more than 130 million subscribers.