T-Mobile could acquire Sprint

http://tech.yahoo.com/blogs/null/84654

Reports: T-Mobile could acquire Sprint
Fri Mar 7, 2008

Talk about some a strange possibility: Could the nation's fourth largest cellular carrier, T-Mobile, gobble up the third largest, Sprint Nextel? Analysts are saying that in order to maintain competitiveness and help avoid a price war in the cellular space (though that's already happening, to be honest), T-Mobile's parent company, Deutsche Telekom, could make a play for beleaguered Sprint.

The scenario is particularly possible because of DT's foreign ownership; a weak dollar means Sprint can be had for far less now that it would in better economic conditions, and Sprint's stock is down nearly 50 percent since the beginning of the year.

Of course, technical challenges would be incredible if the two companies were to merge: T-Mobile is a GSM network (as is DT overseas), while Sprint is a CDMA network. When Sprint bought Nextel it was put in the position of integrating itself with Nextel's old iDEN network, something that has gone so poorly that some say Sprint might actually spin Nextel back off into its own company. (The combined Sprint Nextel aggravated customers of both companies, who have fled in droves.) With three types of networks to manage, it's hard to fathom how a smallish operation like T-Mobile could cope. Or would T-Mobile bite the bullet and force all Sprint customers into GSM handsets?

That said, the idea of a cellular merger at least creates the opportunity for a great new corporate name. Sprint blew an awesome opportunity when it failed to name its new corporation something like Sprextel. Now T-Mobile has a chance to do something bold. T-Mobisprex for the win.