Dish mulling buyout bid for T-Mobile to become fourth major wireless carrier

By on December 19, 2013, 7:15 PM
t-mobile, sprint, dish, deutsche telekom, wireless carrier

US satellite television provider Dish is considering making a bid for wireless carrier T-Mobile according to three sources with knowledge of the matter as reported by Reuters. The news comes just days after it was revealed that Sprint is also considering a takeover of T-Mobile.

If true, it would be the second attempt to purchase a major telecom in as many years. Dish was interested in purchasing Sprint earlier this year but lost out to Japanese telecom giant Softbank. Since then, Dish has reportedly been courting T-Mobile.

It would seem that Dish would have a much easier time with a T-Mobile acquisition than Sprint would. If you recall, the Department of Justice and the Federal Communications Commission effectively halted AT&T’s attempt to purchase T-Mobile over fears that it would create an unfair advantage in the industry. True enough, maintaining four major telecoms instead of shrinking to just three would likely be seen as a much more favorable outcome in the eyes of regulators.

What’s more, Dish Chairman Charlie Ergen has amassed billions of dollars in wireless spectrum over the past few years and would no doubt like to put it to work. Dish has not yet decided if they want to move forward with an offer, we’re told. But in the event that Sprint does put in a bid for T-Mobile, they won’t sit and watch on the sidelines according to the sources.

Deutsche Telekom, Dish and T-Mobile all declined to comment on the matter.

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