Back on March 9th before AT&T announced their intent to purchase the fourth largest carrier in the United States, T-Mobile, the rumors were hot and heavy that Sprint would actually be the suitor. Those rumors have heated up again but this time based on some statements Sprint CEO, Dan Hesse made.
Speaking at a technology conference last week Hesse reiterated Sprint’s position on the T-Mobile merger. He also feels that the US Department of Justice supports Sprint’s position that a merger between AT&T and T-Mobile would give T-Mobile too much power, and drive prices up for both consumers and other wireless network operators from vendors.
Hesse went on to suggest that although the Department of Justice might not approve an AT&T/T-Mobile merger, they may approve a smaller merger like that of Sprint and T-Mobile.
More after the break
Our friends over at donthatethegeek.com are taking the same position that we did back in March. Sprint isn’t directly compatible with T-Mobile at this time. Sprint runs on Code Divisional Multiple Access (CDMA) whereas T-Mobile runs on GSM. Sprint’s current 4G is Wi-Max, while T-Mobile utilizes the next natural progression of 3G for GSM which is HSPA+.
T-Mobile, like AT&T, could go 4G/LTE very easily. While Sprint doesn’t have a clear transitional path to the more popular 4G/LTE they currently have an agreement with Lightsquared for 4G/LTE and could decide to heavily invest again in Clearwire for hopes that they can actually deploy an “LTE Advanced” network, which has theoretical speeds of 100mbps.
Sprint already took a gamble in purchasing a non compatible service when they merged with Nextel that operates on IDEN technology. Although Sprint continually said that IDEN was here to stay. Sprint has developed their own push to talk technology which they’re rolling out next month and plans to shut IDEN down by 2013 to use the spectrum for other things.