• Loading stock data...
PublicWire | Emerging Market Stock News
  •  Home
  • Technology
  • Medical
  • Energy
  • Cannabis
  • Finance
  • Retail
  • General
  • Podcast
  • Videos
  • Services
  •  Home
  • Technology
  • Medical
  • Energy
  • Cannabis
  • Finance
  • Retail
  • General
  • Podcast
  • Videos
  • Services
No Result
View All Result
PublicWire
No Result
View All Result

Home » Technology » Sprint Runs into Trouble as DOJ Blocks Merger with T-Mobile

Sprint Runs into Trouble as DOJ Blocks Merger with T-Mobile

Enzo Mayor by Enzo Mayor
May 24, 2019
in Technology
2 min read
162
0
T-Mobile

Photo: urban.houstonian | Wikimedia Commons | CC BY 2.0

American telecommunications company, Sprint, treads water after a less than satisfying earnings report and a failed merger with buyer-in-waiting T-mobile. It seems that the two company’s’ stocks are running opposite directions as Sprint stocks fall, while T-mobile rises.

While Sprint stocks did spike up Monday, after Federal Communications Commission (FCC) gave the $26 billion all-stock mergers a signal, the Department of Justice (DOJ), to the dismay of Sprint, thought otherwise and halted the intended union between the two companies.

Much of the decision by the DOJ to block the merger is due to antitrust concerns that may be brought about by the merger of the third and fourth largest telecommunications company in the US.

S stocks have been jumping up and down this week when it surged up 19% this Monday upon FCC’s approval of the merger, but fell back more than 3% Wednesday, upon the DOJ’s call to stop the merger. It is yet to be known if political appointees within DOJ will decide to file a suit against the agreement, but both companies are in active talks with the Justice Department.

Given the struggle of Sprint’s 5G network’s ability to cater nationwide, the company seems to be in deep trouble with analysts fearing that Sprint stocks can no longer be offered as an investment option for shareholders; at least not without the assistance of T-Mobile.

It seems clear that one way or the other, Sprint has to make a deal with healthier businesses to remain relevant to the industry. Just to put into perspective, regardless of whether the merger happens or not, the US most likely still be left with three existing telecommunications companies that do not favor the industry. Higher prices on telecommunications services are expected to rise, while jobs are expected to be lost. While it remains to be seen what regulators will decide on, it seems that there are challenges up ahead for the telecom industry.

Enzo Mayor

Enzo Mayor

I'm a management degree holder, currently working for a family business. I find myself always indulging on new interests -- from fitness, coffee, writing, travel, and marketing. But by the end of the day, I'm just a guy in a perpetual pursuit to find his balance.

Related Posts

Trump Retweets Richard Grenell’s Call to Ban Microsoft from Federal Contracts
Technology

Trump Retweets Richard Grenell’s Call to Ban Microsoft from Federal Contracts

June 12, 2020
155
Tiktok named its new CEO Kevin Mayer
Social Media

TikTok Named Kevin Mayer as its new CEO to Lead its U.S. Operations

May 19, 2020
153
Virgin Galactic
Technology

Richard Branson to Sell More Than a Fifth of Virgin Galactic Shares

May 12, 2020
116
Uber removes 3,700 employees or 14% of its global workforce
Technology

Uber Slashed 14% of its Global Workforce to Compensate COVID-19 Pandemic Losses

May 6, 2020
135
Airbnb Job Cuts COVID-19 Pandemic
Technology

Airbnb Cuts 1,900 Jobs to Compensate Losses

June 18, 2020
123
Sheryl Sandberg said that learning from their mistakes in the past prepared Facebook for crisis like COVID-19.
Technology

Facebook COO says they are ready for crisis because they learned from their mistakes

April 1, 2020
121
Currently Playing

Subscribe To Our Newsletter

Ad

PublicWire | Emerging Market Stock News 24/7 | Investor Relations US Stock Market

© Copyright 2020 PublicWire.com

Navigate Site

  • About
  • #96576 (no title)
  • Disclaimer
  • Watch LIVE
  • Privacy Policy
  • Terms and Services
  • Contributors

Follow Us

No Result
View All Result
  • LIVE Investor News Channel
  • Cannabis
  • Energy
  • Finance
  • General
  • Medical
  • Podcasts
  • Retail
  • Technology
  • #370 (no title)

© Copyright 2020 PublicWire.com

Login to your account below

Forgotten Password?

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Public Wire Logo

Hello please subscribe to our newsletter to get up to date news weekly!

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.