Hasta La Gadget!

This afternoon, AT&T and T-Mobile dedicated a twenty-eight page PDF to convincing regulators that their $39 billion aquisition wouldn’t violate antitrust law, using images like the one above. Well, as you can imagine, Sprint had something to say about that, and you can read it immediately below.

The combination of AT&T and T-Mobile USA, if approved by the Department of Justice (DOJ) and Federal Communications Commission (FCC), would alter dramatically the structure of the communications industry. AT&T and Verizon are already by far the largest wireless providers. A combined AT&T and T-Mobile would be almost three times the size of Sprint, the third largest wireless competitor. If approved, the merger would result in a wireless industry dominated overwhelmingly by two vertically-integrated companies that control almost 80% of the US wireless post-paid market, as well as the availability and price of key inputs such as backhaul and access needed by other wireless companies to compete. The DOJ and the FCC must decide if this transaction is in the best interest of consumers and the US economy overall, and determine if innovation and robust competition would be impacted adversely and by this dramatic change in the structure of the industry.

Last week, rumors flew that Sprint, not AT&T, would be the one to join T-Mobile and create a vast wireless network, and while we haven’t heard any proof of that so far, it probably wouldn’t be terribly happy to settle for “number 1 spectrum position” if the tables were indeed turned.

Sprint critiques proposed AT&T / T-Mobile deal, says buyout would ‘dramatically alter’ telecom industry originally appeared on Engadget on Sun, 20 Mar 2011 23:42:00 EDT. Please see our terms for use of feeds.

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Wowzers! AT&T and Deutsche Telekom have entered into a definitive agreement for the sale of T-Mobile USA for $39 billion in cash and stocks. The combined customer base of this upcoming behemoth will be 130 million humans, though the agreed deal will have to pass the usual regulatory and closing hurdles before becoming complete. The two companies estimate it’ll take them 12 months to get through all the bureaucracy — if they get through, the proposed network merger will create a de facto GSM monopoly within the United States — but we don’t have to wait that long to start discussing life with only three major US carriers. AT&T envisions it as a rosy garden of “straightforward synergies” thanks to a set of “complementary network technologies, spectrum positions and operations.”

One of the other big benefits AT&T is claiming here is a significantly expanded LTE footprint — 95 percent of Americans, or 294 million pops — which works out to 46.5 million more than AT&T was claiming had it gone LTE alone. Of course, T-Mobile has never put forth a clear strategy for migrating to LTE, suggesting that AT&T plans on using the company’s AWS spectrum to complement its own 700MHz licenses as it moves to 4G. You might be groaning at the thought of yet another LTE band, but it’s not as bad as you might think: MetroPCS already has a live LTE network functioning on AWS, so there’s precedent for it. For further details, hit up the gallery below, the Mobilize Everything site, or the official press release after the break.

In the event of the deal failing to receive regulatory approval, AT&T will be on the hook for $3 billion to T-Mobile — a breakup fee, they call it — along with transferring over some AWS spectrum it doesn’t need for its LTE rollout, and granting T-Mo a roaming agreement at a value agreeable to both parties.

Update: TmoNews obtained a copy of Deutsche Telekom’s press release regarding the deal — it looks like the German company will be getting $25 billion in cash and $14 billion in stock, giving it an 8 percent stake in AT&T when all is said and done. Read the full document after the break.

Continue reading AT&T agrees to buy T-Mobile USA from Deutsche Telekom for $39 billion (update)

AT&T agrees to buy T-Mobile USA from Deutsche Telekom for $39 billion (update) originally appeared on Engadget on Sun, 20 Mar 2011 14:27:00 EDT. Please see our terms for use of feeds.

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If you thought Verizon Wireless and Alltel’s marriage underwent a good bit of scrutiny, you’ll soon be swearing that Vimpelcom and Wind Mobile are on some sort of global watch list. The Amsterdam-based Vimpelcom has taken a giant leap towards the completion of a $6 billion merger with Wind Telecom, the latter of which has around 117 million subscribers spread across Algeria, Bangladesh, Egypt, Pakistan, North Korea and Canada. If and when the two link hands, the combined effort will be home to a staggering 173 million customers, creating the fifth largest mobile operator by subscriber count. Wind Mobile’s head honcho seems more than enthused about the news, and he’s hoping that the tie-up will allow prices to sink for just about everyone involved. Claiming feats such as “more access to international cooperation for roaming and long distance services” and the ability to utilize “more leverage and increased scale” to drive down prices, Anthony Lacavera isn’t showing any public signs of worry when it comes to regulatory hurdles. In months past, the CRTC took issue with Globalive Wireless — operator of Wind Mobile — starting up in Canada, primarily due to the company’s largest lender (Orascom) residing outside of the Great White North. As of now, things seem to be sailing right along, but you can bet this marriage won’t be formally recognized before a borderline-obnoxious amount of investigating goes down behind the scenes.

[Thanks, Kelvin]

Vimpelcom moves forward with $6 billion Wind Mobile merger, intends to hurdle regulatory snags originally appeared on Engadget on Fri, 18 Mar 2011 11:19:00 EDT. Please see our terms for use of feeds.

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Some of our UK readers have woken up to the less than awesome discovery this morning that their phones have lost all connectivity to the outside world. 3G, 2G, SMS, and BlackBerry services on the Vodafone UK network are all down for what seems like a significant proportion of its user base — an issue the carrier has since identified as being caused by a break-in at its Basingstoke exchange center. No further details have been provided, though work is naturally underway to repair the damage done and we’re assured customers’ private data has remained so. We can’t imagine quite such a service disruption being caused by a random act of vandalism or burglary, perhaps a disgruntled employee felt the need to vent his or her frustrations in grand style? Or has O2 gone gangster on the competition?

[Thanks to everyone who sent this in]

Update: Vodafone got in touch to say that 2G and 3G voice connectivity has been restored as of lunchtime in the UK and text and data services should be up within “the next couple of hours.” The company estimates the issue has affected “a couple of hundred thousand users”, though it expects that number to drop to zero before the day is through.

Vodafone’s UK network taken down by a break-in (update: some services restored) originally appeared on Engadget on Mon, 28 Feb 2011 06:21:00 EDT. Please see our terms for use of feeds.

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Oh yes, the world’s first Android Honeycomb tablet really is here now. As Verizon announced earlier, you can snag a Motorola Xoom for $599.99 with a two-year contract, or splash out $799.99 for just the LTE-ready device. Alas, the WiFi-only version is nowhere to be seen just yet, but maybe some will show up in the stores later if not tomorrow, so hold on to your personal hotspot devices and keep believing. Either way, in case you’re still indecisive over this 10-inch goodness, maybe our review will help.

[Thanks to everyone who sent this in]

Update: Verizon’s been in touch to inform us of a policy change: customers who purchase the off-contract Xoom will now no longer need to be on a month to month plan. That said, we still see “Month to Month” as a compulsory option at the time of updating this post.

Motorola Xoom now available for purchase straight from Verizon, no data activation required (updated) originally appeared on Engadget on Wed, 23 Feb 2011 23:59:00 EDT. Please see our terms for use of feeds.

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