At&t enters agreement with Deutsche Telekom to purchase T-Mobile USA for $39 billion

We did not see this coming…

AT&T will easily become the largest carrier if this deal makes it through all the regulatory hang-ups. AT&T believes the process will take a year before the deal is finalized. This could bring some much needed relief to the folks in New York and San Francisco; AT&T’s most populous service areas. The addition of T-Mobile’s footprint should relieve a lot of the pressure from At&t’s choking network. On the down side of this news you can almost bet that At&t will do away with T-Mobile’s afford-ability and wide selection of phones. It’s hard to tell which is the lesser of two evils…

The deal will cost AT&T $25 billion in cash and $14 billion in stock. Should the deal fail to reach regulatory approval AT&T will have to pay Deutsche Telekom $3 billion, transfer some of their spectrum over,  and make a mutually agreed upon roaming agreement.

Source: http://www.mobilizeeverything.com/home.php