Mobile vows not to raise prices if Sprint merger approved

Kelley Robertson
February 8, 2019

However, Legere has rebuffed those claims and has provided the reassurance that the New T-Mobile will not hike prices after its merger with Sprint.

In a letter to the FCC on Monday, Legere attempted to counter one of the main arguments against the merger - that as soon as T-Mobile absorbs Sprint, competition in the market will decrease and rates will go up. Monroe County has already contacted T-Mobile to offer our unique workforce development programming, like LadderzUp and Recruiting on the Road, to help link our residents to the company's new jobs here. We believe this merger makes consumers better off, and we're willing to put our money where our mouth is.

In a letter sent to the United States FCC Chairman, John Legere outlines some of the expectations that “the New T-Mobile” has in terms of keeping prices competitive while offering customers more. The third and fourth largest wireless providers in the USA say that joining forces would allow them to roll out the next generation of wireless networks more quickly and compete better with the top players AT&T and Verizon. Sprint trailed with 54 million. Although not mentioned specifically in the filing, T-Mobile offers its unlimited customers free Netflix (nflx) accounts, for example, but Netflix recently raised its prices. "Our costs at New T-Mobile is going to go down dramatically when it comes to what it costs to produce a gigabyte of data". With those caveats, T-Mobile said it would not object to being held to the three-year price guarantee as a formal condition of the FCC approving the merger.

Mignon Clyburn could make it a tad more hard to argue against the deal. "American consumers will benefit from a nationwide 5G network that is both broad and deep, and we can't wait to get started", he said.


"The company's pledge is riddled with loopholes and ensures that any network improvements will allow them to justify higher monthly bills, effectively rendering the pledge meaningless", a group known as the 4Competition Coalition noted in a statement.

Moving forward. T-Mobile shares rose 1.6% in premarket trading.

The $26 billion merger would eliminate price increases for three years if approved.

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