T-Mobile and MetroPCS to Merge


A shakeup in the wireless world today has analysts, investors, and consumers wondering what’s in store for what will be the country’s fourth-largest cellular carrier.

T-Mobile USA, www.t-mobile.com, will merge with MetroPCS, www.metropcs.com, according to the parent companies of each, Deutsche Telekom, www.telekom.com, and MetroPCS Communications, respectively.

The newly combined company will retain the T-Mobile name, and the carrier will operate as a “value carrier” according to a statement from the companies.

Some of the benefits the companies cite for the merger include greater network coverage, deeper LTE network deployment, and a path toward 4G for many areas. Additionally, existing MetroPCS customers will be migrated to a common LTE-based network as they upgrade their handsets, says T-Mobile. The combined company will also focus on serving the growing no-contract market for mobile phones.

Regarding its business services, after the merger the company says it will use “its stronger network to advance its B2B offerings and MVNO (mobile virtual network operator) platform.” What will this mean for the M2M (machine-to-machine) space? For a deeper analysis, check back tomorrow when Connected World will explore this idea in depth.

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June/July 2014
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