Published: Sat, September 15, 2018
IT | By Lester Massey

FCC pauses assessment of Lunge and T-Mobile merger

FCC pauses assessment of Lunge and T-Mobile merger

The FCC has pressed pause on an "informal" 180-day transaction clock so staff and third-parties have enough time to thoroughly review the material, the agency said in a letter to T-Mobile and Sprint.

So, in essence, TMUS recently chose to offer up a bunch more material in support of the merger and the FCC needs more time to review it.

A "substantially revised" network engineering study submitted September 5 "is significantly larger and more complex than the engineering submissions already in the record", the agency said in a letter to the companies that it distributed by email on Tuesday.

"The clock will remain stopped until the applicants have completed the record on which they intend to rely and a reasonable period of time has passed for staff and third-party review", the FCC letter stated.

The Federal Communications Commission has announced that it is stopping the clock on its review into the merger of T-Mobile and Sprint.


If the two are allowed to merge, the number of wireless providers in the United States would drop from four to three with the new company competing against Verizon and CNN parent company AT&T.

The two companies have complementary spectrum holdings that would help it rollout a robust 5G network, which would spur increased investment and deployment by its larger competitors, T-Mobile CEO John Legere and Sprint executive chairman Marcelo Claure told senators in June.

What just happened? The merger between T-Mobile and Sprint will take a bit longer to get the green light from the FCC. The FCC called it "significantly larger and more complex than the engineering submissions already in the record".

Consumer groups have argued that the merger could result in higher prices for wireless customers, one of the concerns the Justice Department is considering in its own review of the transaction. T Mobile Us Inc now has $55.84B valuation. On top of that, it said, it also requires some extra time to go over a business model named "Build 9", which will provide the financial basis for the projected new network buildout.

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