T-Mobile has come out with assurances that customers of both AT&T and T-Mobile will see improved performance and more widespread 4G LTE deployment with the merger of both companies. C.O.O. Jim Alling explains that merging both companies allows for deployment of a "robust" 4G LTE network to 95% of the US population. Without the merger, neither company could accomplish this goal within the same time-frame. Alling also promises improved voice and data performance almost immediately after the networks are integrated.
The merger will ensure the deployment of a robust 4G LTE network to 95% of the U.S. population, something neither company would achieve on its own in the timeframe that would be possible with this merger.
AT&T announced last week that it was buying T-Mobile USA from Deutsche Telekom for $39 billion in cash and stock. The merger is expected to take at least a year to undergo FCC approval and meanwhile, T-Mobile assures customers that the network will remain both an independent company and competitor to Ma Bell. But users have had questions Alling goes on to address several of them, including upgrading user phones to AT&T devices. Alling says that T-Mobile has no plans to alter their 3G/4G network in a manner that would render customer phones obsolete. The integration of T-Mobile's network into AT&Ts is expect to take several years and will be phased so that users can replace phones according to the natural retirement of their contracts. Alling goes on to say that now is a great time to upgrade phones as the merger will mean even stronger service and more variety of phone choices.
Alling also has interesting answer to the question if the "Get More network" will be getting the iPhone. He completely dodges the question, rather saying T-Mobile will offer cutting edge 4G devices like the Samsung Galaxy S 4G, Sidekick 4G, and G-Slate tablet. T-Mobile also says that the merger does not effect T-Mobile's 4G network roll out plans. Currently, while claiming to be America's largest 4G Network, T-Mobile is planning to expand to more than two dozen markets including Las Vegas, New York and Orlando starting this week.
As you know, AT&T and Deutsche Telekom have reached an agreement for AT&T to purchase T-Mobile USA. The combined company will provide you with a world-class platform for mobile broadband innovation and growth.
Bringing together these two world-class businesses will create significant benefits for you. The merger will ensure the deployment of a robust 4G LTE network to 95% of the U.S. population, something neither company would achieve on its own in the time-frame that would be possible with this merger.
Also, because of our compatible networks and infrastructure, you will experience improved voice and data service almost immediately after the networks are integrated.
The transaction must go through a regulatory review and approval process. We expect the review to take approximately twelve months.
Until this deal is closed, T-Mobile remains as an independent competitor to AT&T. During this time, you will continue to receive the great service you have come to expect from T-Mobile and we remain committed to ensuring that you have the best experience possible using T-Mobile products and services.
It continues to be our pleasure and honor to provide you with America’s Largest 4G Network and one of the most unique and exciting lineups of smartphones and mobile data products in the industry. We can’t thank you enough for choosing T-Mobile, and we promise to continue earning your business every day.
Chief Operations Officer
T-Mobile USA, Inc.
Answers to Some Questions You May Have:
Q: Will I have to upgrade my T-Mobile 3G/4G device after the acquisition closes?
A: T-Mobile has no plans to alter our 3G / 4G network in any way that would make your device obsolete. The deal is expected to close in approximately 12 months. After that, decisions about the network will be AT&T’s to make. That said, the president and CEO of AT&T Mobility was quoted in the Associated Press saying “there’s nothing for [customers] to worry about… [network changes affecting devices] will be done over time… ”
Q: Will T-Mobile USA’s quality be reduced?
A: No. In fact, the combination of AT&T and T-Mobile USA will offer an even stronger service to customers. Until the acquisition is closed, we will work hard to maintain our position as the value leader with America’s largest 4G network.
Q: Should I wait to sign-up with T-Mobile USA or upgrade my phone?
A: There is no greater time than now to become a T-Mobile customer or upgrade your service or device. T-Mobile USA offers an industry leading lineup of smartphones, tablets and other mobile broadband devices on America’s Largest 4G Network. The combination of AT&T and T-Mobile USA would mean even stronger service for our customers.
Q: Is T-Mobile USA getting the iPhone?
A: T-Mobile USA remains an independent company, as the acquisition is expected to be completed in approximately 12 months. We’ll continue to offer cutting-edge 4G devices like the Samsung Galaxy S 4G, as well as the new Sidekick 4G, the T-Mobile G2x and the G-Slate tablet coming later this spring.
Q: Will my rate plan change because of the acquisition?
A: All customer contracts entered into before the change of ownership will be honored [for their applicable period].
Q: Will T-Mobile’s 4G network rollout plans change as a result of this announcement?
A: T-Mobile will continue to expand America’s Largest 4G Network and double its speed in more than two dozen markets, starting with Las Vegas, New York and Orlando this week. We will continue to build on our 4G network advantage this year, providing customers with rich and compelling mobile data experiences. Longer term, T-Mobile’s future network evolution will be determined when we have worked through the regulatory process and have closed the agreement with AT&T.
About T-Mobile USA
Based in Bellevue, Wash., T-Mobile USA, Inc. is the U.S. wireless operation of Deutsche Telekom AG. By the end of the fourth quarter of 2010, approximately 130 million mobile customers were served by the mobile communication segments of the Deutsche Telekom group — 33.7 million by T-Mobile USA — all via GSM and UMTS, the world’s most widely-used digital wireless standards. Today, T-Mobile operates America's largest 4G network, and is delivering a compelling 4G experience across a broad lineup of leading devices in more places than competing 4G services. T-Mobile USA’s innovative wireless products and services empower and enable people to stay connected and productive while mobile. Multiple independent research studies continue to rank T-Mobile USA as a leader in customer care and customer satisfaction. For more information, please visit http://www.T-Mobile.com. T-Mobile is a federally registered trademark of Deutsche Telekom AG. For further information on Deutsche Telekom, please visit www.telekom.de/investor-relations.