DT says "We are ready for more acqusitions in the US"

[terryjohnson16]

This is interesting, but DT is making this statement alittle bit too late. This should have been considered and done before AT&T bought Dobson, and Verizon bought Unicel.

Deutsche Telekom eyes more acquisitions: report | Reuters (http://www.reuters.com/article/innovationNews/idUSL0839924220071008?pageNumber=1&sp=true)

Deutsche Telekom eyes more acquisitions: report
Mon Oct 8, 2007 6:01am EDT

FRANKFURT (Reuters) - Deutsche Telekom (DTEGn.DE: Quote, Profile, Research), which recently bought Orange Netherlands and U.S wireless operator SunCom (TPC.N: Quote, Profile, Research), is on the lookout for more acquisitions, its chief financial officer told a German newspaper.

"If another opportunity like SunCom comes up in the United States we will be ready to use it," Karl-Gerhard Eick is quoted as saying in an interview with Frankfurter Allgemeine Zeitung published on Monday.

Eick said that the group is also preparing bids through its Croatian and Hungarian subsidiaries for the 49.13 percent stake in Slovenia's leading telecom operator Telekom Sloven (TLSG.LJ: Quote, Profile, Research) that is up for sale.

Europe's largest telecoms group by sales would also consider re-entering the Russian market should an opportunity arise that would allow it to take a majority stake, the paper reported Eick as saying.

Three years ago Deutsche Telekom exited the Russian market when it sold its last stake in MTS.

The Bonn-based former state monopoly is pursuing growth through acquisitions outside of Germany in the mobile communications business.

Last week its T-Mobile unit completed a 1.3 billion-euro ($1.83 billion) takeover of Orange Netherlands, which it bought from France Telecom (FTE.PA: Quote, Profile, Research).

Last month T-Mobile USA announced it had agreed to buy smaller U.S. rival SunCom Wireless for $1.6 billion.

Separately, Eick said the company was still in negotiations to find a partner for the systems integration division of its business clients unit T-Systems.

"We need a strong international partner for systems integration. The remaining businesses will stay with T-Systems and will be enlarged," he said.

T-Systems is the smallest of Deutsche Telekom's divisions with around 56,000 employees.

[tmobilefan]

Interesting.
I think T-Mobile should join up with everyone!:D

[gapboi954]

This is interesting, but DT is making this statement alittle bit too late. This should have been considered and done before AT&T bought Dobson, and Verizon bought Unicel.

Deutsche Telekom eyes more acquisitions: report | Reuters (http://www.reuters.com/article/innovationNews/idUSL0839924220071008?pageNumber=1&sp=true)


I agree with you about the Dobson thing they should have picked them up too but the Unicel thing wouldnt work due to the fact that t-Mobile is GSM and I think Unicel is CDMA. I keep hearing people say that Tmobile shoud buy Alltel. Its the same thing thre. It would be way to costly to convert all the users from CDMA to GSM look at the fiasco going on at spint with the CDMA and iDen. These are just my thought though and feel free to correct me if im wrong

[Matt]

DT should buy Sprint.



and shut it down. hehehe

[gapboi954]

DT should buy Sprint.



and shut it down. hehehe


lol:p

[Nwahs]

Buy Sprint, shut them down, and offer 25% their wireless bills if they switch to T-mobile...or something like that, even though it would never work.
There really arn't many other companies T-mobile could buy that are in the U.S.
Contennial Wireless is GSM - .695 million customers
Cincinnati Bell Wireless is GSM and has .557 million customers

Those are the only two significant GSM carriers that T-mobile could buy, both of which would not be very significant.

Just spend that money that they would use to buy the carriers on improving coverage, as that is T-mobile's biggest issue.

[Railroader]

Well, they could try and buy Edge Wireless, but they're an AT&T Affiliate, and are 60% privately held (the other 40% is AT&T interest), so I don't see it happening. My area is served by Edge, they're the only GSM carrier up here.

Edit-Buying Edge would give them a lot of new coverage in areas they currently don't, like Mendocino, Lake, Humboldt, Del Norte, Trinity, Siskiyou, Modoc, Lassen and Plumas Counties here in NorCal, as well as in parts of Southern Oregon, Southeastern Idaho and Western Wyoming.

[Edward]

It's interesting that the article mentions Telekom Sloven, because DT already owns a controlling interest in Slovak Telekom (http://www.slovaktelekom.sk/en/).

If DT eventually acquires Telekom Sloven outright, maybe they will merge it into Slovak Telekom.

I'm in agreement with Nwahs that there isn't much left in the GSM world. DT is acquiring SunCom, Verizon is acquiring Rural Cellular (which has GSM operations in northern New England) and AT&T is acquiring Dobson.

[Edward]

Well, they could try and buy Edge Wireless, but they're an AT&T Affiliate, and are 60% privately held (the other 40% is AT&T interest), so I don't see it happening. My area is served by Edge, they're the only GSM carrier up here.

It's entirely possible that if DT were to acquire that 60% of Edge, that could force AT&T's hand to sell their interest in Edge to DT.

[SJSMR2]

Those Sprint ideas were not too bad. I am a wishful thinker too ;)

[Nwahs]

Wishful thinkings not always bad...that'd be amazing if that happened, even though I'm sure many Sprint customers would be too mad at being forced off their Sprint plans that they wouldn't go to T-mobile.

[greenblood]

there're some carriers DT should consider
Centennial Wireless
I.Wireless (T-Mobile affiflate)
Einstein PCS (but a problem is it's American Indian operated)
Cinncinati Wireless
MetroPCS (yes, convert it to GSM/UMTS/LTE)
Sprint.....if DT knows how to fix its "nastiness", they can consider, but it's alot more challenging to convert iDEN and CDMA/EV-DO to GSM/UMTS/LTE
but T-mobile USA will have WiMax card, and landline + fiber (not mention nearly 80 meg of customers, just wireless!)
I want to see how T-Telekom works in USA
btw, can anybody have history of MCI?

[frostycakes]

I know I sound like a broken record, but T-Mo really should look at acquiring Viaero and maybe Commnet-- Viaero would let them finally use the Nebraska market properly (instead of just having that skeletal network they have now), and Commnet is good for areas like east of here (they have the A-side 850 licence in an area with (at least from personal experience) a ton of T-Mo subscribers (I know a huge amount of people out there, and the majority of them do have T-Mo) that's just plain hard as hell to cover with 1900 coverage (they did a good job, but there are still tons of areas that my phone will fall to either Commnet or Viaero in Elbert County), and hey, there's a few other areas around the US that Commnet has a GSM roamer network set up that would be good for at least roaming revenue for T-Mo, if nothing else. (Durango/Crested Butte for one example, Commnet has the only GSM down there, even AT&T doesn't cover the area, even though there are a few ski areas that are pretty popular)

There's also Union in WY/N.CO, Immix in PA, and when they get spun off out of private equity again, Alltel, of course.

[j__1]

I think DT is going after Comcast or other cable companies... or other players in the content distribution realm to balance their portfolio in the US. Just check out their strategy in Germany...

BTW, does anyone find it odd that Robert Dotson is not speaking on behalf of the US to the degree he has in previous years? Even as it relates to the mobile space, I've noticed that Germans are doing most of the talking.

[Edward]

I believe DT is going to expand T-Mobile by acquiring other wireless companies, as they are with the pending acquisition of Suncom.

[j__1]

I believe DT is going to expand T-Mobile by acquiring other wireless companies, as they are with the pending acquisition of Suncom.There certainly are a few wireless players left to be aquired, but why? What would they gain? And, more importantly, how would that help TMO USA compete with Craig McCaw, Verizon (including wireless), at&t, and the regional players?

I guess I'm stuck on the fact that TMO USA is currently positioned right in the middle... with regional players like Cricket and MetroPCS on the left, and more than a few wannabe quad-play playas to their right. From both of these positions, TMO USA is unable to compete as it relates to where they were brand wise (i.e., Get More): low-cost value player. They really don't have the cost structure in place to get into a price war.

And with Google and others coming to town, the extreme margins entertained today will likely not be available tomorrow... at least not under the current business model.

IMO, DT requires a balanced portfolio in the US... or at least a time machine to take them into the future to where a terrestrial wireless only infrastructure will allow them to lead or follow as required.

@Edward: What are you thinking in the way of acquisitions?

[Edward]

The only ones that are left, are the smaller, regional carriers, like Suncom. There is also Centennial, which I believe signed roaming agreements with T-Mobile a year or two ago.

MetroPCS made a bid for Leap (Cricket) a few weeks back, but Leap rejected the offer. Since both these two are CDMA, if DT were to acquire one of these, they would have to invest additional money to change the network from CDMA to GSM/UMTS.

It would have been nice if DT acquired Rural Cellular (which operates as Unicel). Here in New England at least, that would have given them a large GSM network (in Vermont) as well as some smaller CDMA systems up north. But Verizon (who is buying RCC) has indicated they would keep the GSM network active for the roamers. Both T-Mobile and AT&T will roam on Unicel's GSM network in Vermont.

It's better to be in the middle, instead of at the bottom...

[j__1]

It's better to be in the middle, instead of at the bottom...I tried to leave this one alone, but it has been bothering me: In Marketing, being in the middle is the same as being at the bottom. From a branding perspective, as you're unable to differentiate yourself, you find it increasingly difficult to compete. As such, if something is not done, you will be picked apart by faster and more agile competitors.

[Edward]

I tried to leave this one alone, but it has been bothering me: In Marketing, being in the middle is the same as being at the bottom. From a branding perspective, as you're unable to differentiate yourself, you find it increasingly difficult to compete. As such, if something is not done, you will be picked apart by faster and more agile competitors.

They are differentiating themselves by having the best rate plans around. :)

IMHO, T-Mobile is nowhere near the bottom.

[j__1]

IMHO, T-Mobile is nowhere near the bottom.And opinions are NEVER wrong. :D

You made a few good points... So, I must admit, you're all right in my book, Edward.

Q: Do you have cable/satellite TV, wireline, or broadband?

[Edward]

And opinions are NEVER wrong. :D

You made a few good points... So, I must admit, you're all right in my book.

Thank you very much. :)

The great thing about opinions, is that not everyone has to agree with them and everyone is perfectly free to disagree, as long as it's done with respect and will not face the wrath of the moderators! :D

T-Mobile Signal is a great site, I found out about in a link in someone's signature on HF. :applause:


Have a nice day! :)

And to you as well.

[j__1]

Thank you very much. :)

The great thing about opinions, is that not everyone has to agree with them and everyone is perfectly free to disagree, as long as it's done with respect and will not face the wrath of the moderators! :D

T-Mobile Signal is a great site, I found out about in a link in someone's signature on HF. :applause:



And to you as well.
Last post patting ourselves on the back... but to bring this baby back around to the thread, can you scratch my itch with my edit?

I changed my original because I was afraid you might think I was a wise butt! :)

[Edward]

I saw the edit, I have broadband here (Comcast), but Verizon remains the wireline service (or as I call them, Verizon Landline).

Due to some signal issues which knocks out both the television and Internet, when it occurs, I decided not to get phone service from Comcast.

[j__1]

I saw the edit, I have broadband here (Comcast), but Verizon remains the wireline service (or as I call them, Verizon Landline).

Due to some signal issues which knocks out both the television and Internet, when it occurs, I decided not to get phone service from Comcast.So is that why you don't want to bundle? Are you afraid that having all of your services through 1 provider could lead to no service... at all?

Or are the providers in your area not offering packages that meet your needs?

I ask because in Denver, it is pretty easy to save at least 35% by getting all or multiple services through a limited number of providers. In Houston, I have a difficult time selling my entire soul to at&t... perhaps I'm just irrational. I dunno. :)

[Edward]

So is that why you don't want to bundle? Are you afraid that having all of your services through 1 provider could lead to no service... at all?

Or are the providers in your area not offering packages that meet your needs?

I ask because in Denver, it is pretty easy to save at least 35% by getting all or multiple services through a limited number of providers. In Houston, I have a difficult time selling my entire soul to at&t... perhaps I'm just irrational. I dunno. :)

They only offer bundled services at a discount price (which now includes wireless through Sprint) for a certain period, usually one year, then the price goes up. But I do receive a discount on the Internet service for having both cable and Internet with Comcast.

Because of the signal issues with Comcast, I believe if I had non-wireless phone service with them, the signal drops while on a phone call at the same time, the call will drop with it. As the problem is intermittent, they can't fix the problem if whatever is happening, does not occur while a tech is present.

(to admins - sorry if this is straying off-topic)

[j__1]

They only offer bundled services at a discount price (which now includes wireless through Sprint) for a certain period, usually one year, then the price goes up. But I do receive a discount on the Internet service for having both cable and Internet with Comcast.

Because of the signal issues with Comcast, I believe if I had non-wireless phone service with them, the signal drops while on a phone call at the same time, the call will drop with it. As the problem is intermittent, they can't fix the problem if whatever is happening, does not occur while a tech is present.

(to admins - sorry if this is straying off-topic)To bring this back around... how does TMO compete with the regional players and their Flat-rate billing offers... and the quad-play?

If you were DT, what assets and resources would you acquire in the US?