Softbank has agreed in principle to purchase T-Mobile USA from Deutsche Telekom. The combined company would be called Softbank USA says source.
The Source is extremely reliable and is know for buying into companies before mergers or sales.
The merger would also mean the end of brands Boost Mobile, Metro PCS, and Virgin Mobile USA, Both Boost and Virgin are owned by Sprint and Metro PCS by T-Mobile USA.
The combined company would put Softbank USA 1.3 million customers behind the number 2 carrier AT&T.
This would surely make AT&T and Verizon rethink their tiered data plan structures and could be good for all wireless customers.
Who would of thought it would take a Japanese company to come in an regulate on AT&T and Verizon. Pricing plans would continue to be lower than the current T-Mobile model under the sprint Framily Structure. starting at 75 for everything unlimited and going down to 45 after 7 or more people join the Framily.
This would break AT&T and Verizon as far as pricing goes and the combined networks and spectrum would make Softbank USA a power house.
Also disclosed is Dan Hesse current CEO of Sprint stepping down to take a position on the Board of Directors, paving the way for T-Mobile CEO John Leger to stay in his role.
AT&T must really be kicking themselves in the ass for kicking John out of that party at CES. Can you imagine how hard he will come at the other two now with this type of funding behind him.
Big things are afoot in the US Wireless industry, The next week should be very interesting.
On an investment note, The buyout would close at $36.00 a share, Very close to the $32.00 quoted by the wall street journal earlier this week.
Stay tuned as this story develops