FCC Pauses Massive T-Mobile/Sprint Merger

Joanna Estrada
September 14, 2018

The Federal Communications Price despatched a letter to Lunge and T-Mobile Tuesday informing the carriers that or not it is pausing the contemporary assessment of their merger. In early August, the telecoms said they both added customers in the June-ended quarter.

Sprint and T-Mobile first discussed a merger in 2014 but scrapped it because of concerns about regulatory challenges from the Obama administration.

Until we see what T-Mobile has submitted, we won't know if this marks a minor revision or a wholesale change to T-Mobile's plans that could force a particularly thorough review.

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Each of three separate developments require more time.

So, in essence, TMUS recently chose to offer up a bunch more material in support of the merger and the FCC needs more time to review it. Additionally, T-Mobile recently indicated that it intends to submit additional economic models to support its application.

Today we are pausing the Commission's informal 180-day transaction shot clock in this proceeding. "Although the applicants had previously provided a network engineering model as backup for certain network claims, you explained that since that time "the model has been extended, ' and that the newly-provided model 'completes" the prior work".

The FCC said the extra time is needed to assess updated engineering and economic modeling information submitted in connection with the merger.

A business model detailing how the combined firm would provide "financial basis for the projected new network buildup" wasn't submitted until September 5. The commission said it only received information pertaining to Build 9 on September 5. Build 9 therefore requires further review. "The Commission will decide whether to extend the deadline for reply comments after receiving the remainder of the Applicants' modeling submissions".

T-Mobile said in a statement that it looked forward to working with the FCC in the review process.

Other reports by Click Lancashire

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