A judge overseeing a lawsuit brought by attorneys general from 13 states and the District of Columbia to block the $26 billion merger between T-Mobile and Sprint ruled in favor of the deal today. The lawsuit was the last major hurdle for the deal.
Sprint stock was up 60% in premarket trading this morning. It had risen after-hours Monday after The Wall Street Journal reported the judge was expected to rule in favor of the deal. T-Mobile shares were up more than 9% before markets opened.
The only remaining sticking point for the merger is the approval of the California Public Utilities Commission but that’s not expected to be an issue. Sprint and T-Mobile officially filed their merger deal back in June 2018. The new carrier is currently referred to as “The New T-Mobile.”
With real, nationwide 5G for All, the New T-Mobile will open massive wireless highways and lower prices for ALL Americans. We can ignite innovation and challenge a failed status quo. A status quo that opponents of this merger want to preserve. A status quo that has left too many Americans looking across a Digital Divide, paying too much for too little, with too few options, tolerating terrible treatment and believing it can’t change. It can change. It should change.
The two carriers say the following will be the benefits from the merger:
- The New T-Mobile will build a world-leading 5G network covering 99% of the nation’s population with 14 times the capacity of today’s T-Mobile.
- The New T-Mobile is committed to lower prices. That’s why we’re lowering the price of our most affordable plan by 50%. And not charging extra for 5G access.
- The New T-Mobile will bring 5G coverage to 90% of rural America, along with thousands of jobs.
- The New T-Mobile will market in-home broadband to over half of U.S. households, saving consumers billions.
- The New T-Mobile will create more jobs on day one and every day thereafter than the combined standalone companies, totaling over 11,000 more jobs by 2024.
Only time will tell if the combined carrier keeps its promises. Fingers crossed.