https://www.reuters.com/markets/deals/t-mobile-buy-uscellulars-wireless-operations-44-billion-2024-05-28/
AT&T was already struggling to attract the consumer to its wireless products. T-Mobile has now made that even harder.
14 replies (most recent on top)
How much is the breakup fee?
:-)
Duane Ackerman, former CEO of Bellsouth, had a chance to buy AT&T for $20 billion in 2005. Thanks to his "low risk" management style, he decided to cancel the deal. A few months later, SBC/T bought out Bellsouth and the rest is history.
Ackerman was correct and the acquisition of AT&T would not have stopped the impending M&A destruction of the company. If you want to criticize him then talk about how d-mb it was to go halfsies with SBC on Cingular Wireless. Everyone knew how that "partnership" was going to end.
Good Att deserves no customers they just leak their ssn to the dark web.
I’d be surprised if it passes. Definitely a risk.
I am legit confused when I read the news stories. They talk about it as if it’s a done deal. No mention of any pending regulatory hurdles, etc. It’s weird. Anyone have thoughts? Won’t this have to be approved by DOJ?
It seems to me that every single time that Stephenson, Stephens, and Stankey needed to zig they zagged. Conversely everytime they needed to zag they decided to zig. Is it even possible to be wrong every single time like these losers? I mean, what are the odds?
Everything SBC touches turns to sh-t. Everything and everyone. Thanks to Snake Oil Eddie and favorite three time loser son in law RJS the future is bright for VZ and T Mobile. The lights are going out on T.
I think Ackerman's total compensation for selling BLS to SBC was close to $70M plus his kids got to keep their jobs.
Duane Ackerman, former CEO of Bellsouth, had a chance to buy AT&T for $20 billion in 2005. Thanks to his "low risk" management style, he decided to cancel the deal. A few months later, SBC/T bought out Bellsouth and the rest is history. Ackerman left with a $12 million golden parachute and millions in stock options
The funny part is that TMUS did not request a breakup fee! Randle, Stephens, and Stankey were pounding their chests, telling the world, "well show 'em how confident we are in this acquisition being approved". The rest is history.
Unlikely to pass regulatory scrutiny
Dec 19, 2011:
Faced with the prospect of a long war with U.S regulators it seemed destined to lose, AT&T announced on Monday it would give up on its $39-billion attempt to purchase T-Mobile, even though the decision will cost the nation's number-two carrier at least $4 billion to walk away from the deal.
The proposed merger would have brought together the second- and fourth-largest telecommunications carriers in the United States, ultimately surpassing Verizon Wireless to be the largest telecom in the country. As recently as 11 days ago AT&T said it would not back down (though Chief Financial Officer John Stephens did seem to betray a bit of uncertainty). Instead, AT&T is out $4 billion with nothing to show for a proposed merger that drew instant fire from consumer groups and spectrum geeks.
Inflation:
$5,575,698,300.43 in Apr. 2024 equals $4,000,000,000 of buying power in 2011 (Average).
The total inflation rate from 2011 (Average) to Apr. 2024 is 39.39%. The average inflation rate is 2.64% per year.
The CPI of 2011 (Average) is 224.939 and the CPI of Apr. 2024 is 313.548.
“T gave TMUS 4 billion to grow and takeover the market. Smart investment.”
Stankey and co are great at making good investments, if you haven’t noticed.
Pretty sure all the ‘activist investors’ play for the other teams and that’s why they keep him as CEO.
T gave TMUS 4 billion to grow and takeover the market. Smart investment.