FCC clears T-Mobile-Sprint merger

Tuesday, 05. November 2019 19:58

The United States Federal Communications Commission (FCC) conditionally approved on Tuesday the $26 billion merger between T-Mobile US Inc. and the Sprint Corp. in a vote split along party lines.

In order to gain approval, two telecommunications giants committed to deploying 5G service to cover 97% of the American people in the next three years. In addition, they have agreed to provide 99% of Americans with a mobile internet speed of at least 50 Mbps. If they fail to honor their commitments, the companies will be required to make payments that could reach over two billion dollars, the FCC stated.

"The combination of T-Mobile and Sprint will advance significantly the deployment of state-of-the-art 5G networks across the United States. The deployment of 5G networks is a critical national priority that will bring meaningful benefits to American consumers by delivering faster speeds and lower latency and by supporting the development of advanced applications and services," the regulator said.

Following the release of the statement, shares of Sprint were down 1.14% at 2:02 pm ET, while T-Mobile US's rose 0.91% at 2:18 pm ET.

Related Links: Sprint CorporationT-Mobile US, Inc.
Author:
Breaking the News / MD