January 22, 2015
T-Mobile had a huge growth in recent years on the cell phone market from the United States. They brought new borders in pricing, data, contract and so on. Under CEO John Legere they are expected even to become the third cell phone service provider from the United States of America, surpassing Sprint. Despite of all this, T-Mobile’s policy is put under doubt by the mother company, Deutsche Telekom.
Official position
Why is that? Well, the Germans think that the strategy of T-Mobile is unsustainable on long term because, in the board’s opinion, the American sector of the company has to invest huge amount of money in their network if they want to keep up with giants Verizon and AT&T. On this problem, Tim Hoettges himself, CEO of Deutsche Telekom, delivered some words: “The question is always the economics in the long term … and earning appropriate money. You have to earn your money back at one point in time.”
Will they merge with U.S. Cellular?
In other words, the mother company is concerned if T-Mobile can recover the massive investments made lately for the fast growth on the cell phone services market. Considering how T-Mobile’s board deals with this situation, it looks that won’t be any problems in the future. Plus, some rumors say that T-Mobile will merge with another important company from the United States during this year, like it is, for example U.S. Cellular, and this way things might become even better for the German based company.