Image via CrunchBaseThe C.E.O of Sprint Nextel Corp, Dan Hesse, has provoked his competitive company AT&T Inc, which had fill intentions of acquiring of the USA based T-Mobile on this Friday. He addressed the incident, claiming that if this deal would have been signed between both the companies than it would have been fatal for the creativity of the two and would’ve definitely cost country's wireless industry a huge price.The C.E.O of Sprint, which happens to be the third best U.S. mobile operator, was outrageous in aspect of this deal worth $39 billion, which us yet going through the regulatory scrutiny. He spoke opposing against all other executives of Sprint, when he said that "If AT&T is allowed to swallow T-Mobile, competition will be stifled, growth will be stifled and wireless innovation will be jeopardized." This was witnessed by all the reporters and industry executives in downtown San Francisco.
On the contrary, the vice president of the external and legislative affairs at AT&T, James Cicconi, reminded that in the past few months all the higher-ranked officials of Sprint were always implying that the wireless industry has been extremely competitive. He said that "It is self-serving for them to argue that the highly competitive wireless market they cited only months ago is now threatened by the very type of transaction they seemed prepared to defend previously."
This controversial deal of AT&T is being publicized since March and will give almost around the 80% of the total wireless subscribers of whole U.S. to the two companies; AT&T/T-Mobile and Verizon Wireless. Hence it will be a joint venture of Verizon Communications and Vodafone Group Plc.
The second best company of U.S., AT&T, has frequently been criticized and moaned for not having good standards. The complaints of dropped calls and slower connection speeds are a norm, hence it is being predicted that this merger, if it takes place, will eradicate that. In fact is believed that it will also add innovation and economic growth as it improves quality along with expanding service up to the mark of 95% of the entire U.S. population.
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