At & t T-Mobile acquisition of Deutsche Telekom

The second-largest U.S. wireless carriers at & t announced value of $ 39,000,000,000 in cash and stock acquisition of Deutsche Telekom's U.S. subsidiary T-Mobile USA, and the transaction has been approved by both companies Board of Directors.

From the independent agency Ovum, experts say, this transaction is the growing U.S. market ripe signs, at & t for the upcoming 4G war first obtain the spectrum and overall efficiency; Deutsche Telekom in the received short-term cash to reinforce the same time losing its world business. But in fact, the impact of the deal so far, U.S. wireless carriers from the pattern of distribution of the overall competition to the fate of network equipment providers, almost without exception, been touched.

Duopoly era?

As of September 2010, mobile communications market in the United States, accounting for the first one is Verizon Wireless, the market share of 32.2%; at & t market share of 32.1%, slightly lower than Verizon Wireless; T-Mobile USA's market share 11.7%.

at & t T-Mobile USA merger after the competition on the U.S. wireless industry had a greater impact, the Ministry of CATR Wang Haiyan, said: "After the acquisition, at & t's second-largest carrier by the United States became the largest mobile operator business, its market share will increase to 43.8%, which will greatly opened the second with the top operators in the market share gap, we expect this gap to reach more than 10%. "

In addition, Ovum research shows that, at & t in the acquisition will also receive a larger scale of business, the next three years, each year about 30 billion dollars in overall efficiency, the result is at & t will be 129 million users, and 43% more market share.

If the acquisition is successful, from the user point of view the scale of U.S. mobile communications market, the degree of monopoly will be further deepened. "If at & t to make concessions in a number of relative market will promote competition to some extent." Province branch of China Mobile Data Division believes that, "but in the short term, some customers are bound to reduce the impact of choices, such as want to enjoy GSM roaming services to customers may be left with a choice. "

"After the merger with at & t contend only Verzion wireless operators a, both the share of the overall market size and reach 3 / 4, which indicates that the U.S. mobile market has actually appeared in duopoly situation." Industry and Information Telecommunications Research Institute, said Wang Haiyan.

4G is to promote the flow of the power surge?

At & t has been said previously, this transaction will enable both companies use the same network technology to achieve consolidation and ease the shortage of spectrum resources of both companies stress. To ease the concerns of U.S. regulators, at & t has recently also issued a statement saying, will spend 80 billion dollars in rural areas of the United States to expand high-speed wireless broadband network to 4G networks cover 95% of the U.S. population.

In this regard, a provincial subsidiary of China Mobile data above officers told reporters that the quality of service from at & t has been criticized, to the nearest at & t to set upper limit to limit the data traffic flow and a series of moves of view, at & t did suffer from the data traffic dramatic increase in distress, this is it one of the engines to actively promote the 4G. The migration process for the interests of users of spectrum will suffer this problem, he said: "I believe at & t has a warning in case of a smooth transition would be a reasonable solution designed to ensure the stability of migration of the user."

Ovum analysts believe that, at & t in the acquisition of significant advantage obtained is T-Mobile's spectrum, which makes at & t's LTE plans to accelerate, but can also use T-Mobile to deploy existing resources to actively HSPA + new construction. "After completion of the acquisition at & t will increase the total spectrum available, through the use of rational planning, these resources will help alleviate the shortage of spectrum at & t pressure." Haiyan Ministry of Industry and Telecommunications Research Institute, said, "points of view, at & t plans to speed LTE deployment will also further enhance the user experience. "

While at & t get the spectrum in the acquisition and the benefits of complementary infrastructure, but the spectrum of migration and the LTE network construction work can achieve overnight. "The acquisition is expected to take a year or so Acer AS07B71 battery, Acer AS07B41 battery and Acer AS07B31 battery, at & t started to re-deploy the network at least until 2012, while the FCC during this period is likely to re-auction the spectrum, the spectrum of each operator changes in reserves may also be renewed." Telecommunications industry Experts Ma Yihua said.

Network equipment manufacturers of the Gospel?

at & t in the January 2011 release plan that will further accelerate the LTE network construction started in mid-2011 commercial service, and is expected to be completed at the end of 2013 basically.

In this regard, the Guangzhou Research Institute of China Telecom, Dan said: "For network equipment manufacturers, on one hand, the acquisition allows the company to reduce their customers, the competition becomes more intense, at & t also makes a stronger bargaining Laptop battery power On the other hand, at & t since the network will be more construction and renovation, That would be a good news. "

In fact, after the merger at & t's network upgrade plan announced their deal after the completion of one year, will re-deployment of T-Mobile's cellular antenna tower, and those for the 3G spectrum will be changed to use the service the faster 4G network. Which would allow the judge, after the acquisition at & t's LTE deployment will be accelerated. "For the purposes of network equipment providers, at & t after the merger to accelerate the deployment of LTE networks will also increase the demand for network equipment." Haiyan Ministry of Industry and Telecommunications Research Institute, told reporters.

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