The mobile telecommunications industry in the U.S is currently buzzing with excitement following the completion of the T-Mobile Us Inc (NASDAQ:TMUS) and Sprint Corporation (NYSE:S) merger.
T-Mobile and Sprint have been working on the merger for quite some time but it is finally complete after lengthy negotiations. The merger means that the two companies will now exist as one, allowing the resulting firm to compete more effectively and to provide more effective services courtesy of the combined resources. However, the big question is how customers, especially Sprint customers will be affected by the merger.
The first major thing that customers need to understand is that the merger will allow Sprint and its services to be integrated into T-Mobile. However, this process will also be lengthy and is expected to take roughly 3 years. During this duration, Sprint customers will continue to enjoy Sprint services. In other words, branding will not change immediately. It will, however, change to T-Mobile within the 3-year transition duration.
Will Sprint customers benefit from the shift?
The merger will allow Sprint customers to gain access to the wide range of T-Mobile offerings. As per the merger deal, customers on Boost which is Sprint’s prepaid brand will shift to Dish. The latter also plans to roll out its own wireless network. Dish also plans to use T-Mobile’s network for at least 7 years.
There will also not be immediate changes to Sprint’s existing network since it will take some time before the integration is complete. However, some of the details regarding T-Mobile’s plans with Sprint’s cell towers remain unanswered. T-Mobile also promised not to make any pricing changes at least for the next three years.
The regular Sprint customers will likely be shifted into the T-Mobile brand by the time the integration is concerned. The merger will focus on providing attractive services to all its customers and ensuring that there is a wide network reach across the U.S. It also aims to ensure rapid deployment of the next-generation mobile networks known as 5G which will be significantly faster than the current 4G service.
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