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Home / Business / Google has talked to Dish about partnering up on the Boost Mobile purchase

Google has talked to Dish about partnering up on the Boost Mobile purchase



As you most likely know now, the merger of $ 26.5 billion of T-Mobile and Sprint has three final barriers to clearing. One is the approval of the California Public Utility Commission, another is a lawsuit filed by 14 state attorneys general in an attempt to block the deal, and the third line to remove is to get the Ministry of Justice's approval. The trial cannot start until October, which may delay the merger if the judge presides over the case, issues a temporary restriction order that blocks the deal from closing until the test ends. A decision by the California PUC may take place some day. And last we heard, DOJ had reached a "rough deal" with T-Mobile and its parent Deutsche Telekom.
The DOJ situation is perhaps the most exciting. T-Mobile, to win FCC approval, promised to complete 97% of its 5G rollout no later than three years after the deal closed. It also promised to freeze the prices for the same period and spin off prepaid carrier Boost Mobile. DOJ, focusing on competition, worries that the combination of T-Mobile and Sprint would reduce the number of major US carriers by 25%. The regulator fears that this would allow the remaining three wireless providers to increase prices at will. So DOJ essentially said it would bless the merger under the condition that T-Mobile and Sprint help make Boost a major nationwide carrier.

Earlier this month, the DOJ, Deutsche Telekom and T-Mobile turned out to havehing out details of a deal. Dish would buy Boost and some range from T-Mobile and Sprint, and enter into a six or seven year agreement to use T-Mobile's network while saving billions to build their own. In other words, Dish would be a mobile virtual network operator (MVNO) for some years. This is simply a company that offers wireless service to consumers without owning a separate network.

Discussions between T-Mobile and Dish are "halfway there"

Dish had recently said it wanted a partner to help it build a 5G network, and the New York Post said tonight that Dish could have found a deep pocketed partner. The paper reports that alphabet director Alan Mulally has been negotiating with the dish to build a new major US carrier. The alphabet is of course Google's parent company. A mail source says, "There is no doubt they are talking." Other sources tell the post that the situation is floating, and that there is no guarantee that the Alphabet and dish will reach a separate deal.
 Conversations between T-Mobile and Dish could lead to an agreement for two to three weeks

Conversations between T-Mobile and Dish could lead for a two to three week deal

Google denies that it is in talks with Dish and released a statement saying "These claims are simply fake. Google has no conversations with Dish about creating a wireless network." Deutsche Telekom has requested that an acquisition acquisition acquisition acquisition includes a capsule that prevents a third party from buying more than a 5% stake in the satellite content provider. That's because the German telecommunications company is afraid that Dish will make a deal with a large company loaded with cash and build Boost to the point where there is fierce competition for a combined T-Mobile Sprint. Sources say that both Deutsche Telekom and T-Mobile rely on the demand for DOJ and Dish to make it clear that they were not satisfied with that request.

While a deal could give the chairman of the original Charles Ergen the wireless business he wanted for a while, it could also help Google. The latter currently offers its own MVNO, Google Fi, which relies on mobile Wi-Fi hotspots and mobile service from T-Mobile, Sprint and US Cellular. Getting involved in a deal with Dish to buy Boost and build a nationwide 5G network will allow Google Fi to release the MVNO contracts it has and eventually use its own network. Experts say that should Dish and Google buy Boost, the couple could have their own network up for three years.

People near the discussions between Dish and T-Mobile characterize them as "about half way there" and say conversations can take another two to three weeks before an appointment is reached. T-Mobile and Sprint announced the merger on 29 April 2018 and originally set a deadline for April 28, 2019 to close the merger. Both carriers expanded it until July 29, and it appears that another expansion will be needed.


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