T-Mobile to buy SunCom for $2.4B
Looking to expand their coverage nationally, and reduce roaming charges, T-Mobile has entered into an agreement to purchase SunCom for $1.6B and assume $800M of debt. Instead of just picking up SunCom’s 1.1M customers, T-Mobile will have increased its network coverae by "15 million potential users to 259 million in 98 of the U.S.’s 100 most important regional markets." While this aquisition won’t officially go down until the second quarter of ‘08, I’m sure we’ll be hearing more about it soon. Hey, as long as it improves your coverage, we’re all for it T-Mobz! Check out the email from Robert Dotson, CEO of T-Mobile after the jump!
At our core, T-Mobile will always be a growth company. We do that chiefly by focusing on the wants and needs of our customers and then offering superb products and services, all combined with an outstanding calling experience and award-winning customer service. By focusing on what we do best, we’re well positioned to win new customers and ensure existing customers stay with us for years to come.
But sometimes, growing also means identifying other quality wireless companies that would make sound additions to the T-Mobile family. Such an opportunity has presented itself today.
I am pleased to announce T-Mobile and SunCom Wireless have entered into a definitive merger agreement. SunCom currently serves more than one million customers in North Carolina, South Carolina, Tennessee, Georgia, Puerto Rico and the U.S. Virgin Islands. The company operates on a GSM network and has provided roaming service to T-Mobile in these markets since 2004.
The strategic fit of the SunCom operations is near-perfect. It rounds out our domestic footprint, allowing us to serve 98 of the top 100 markets, and significantly benefits our financial position by reducing roaming expense.
Furthermore, it adds a talented group of employees that will enable us to serve SunCom customers with industry-leading national products and services available under the T-Mobile brand.
Following the close of the transaction, T-Mobile expects to fully integrate SunCom’s network and operations into the T-Mobile network. We’re committed to providing SunCom customers a smooth transition over to T-Mobile’s high-quality, innovative wireless products and services. We’re also excited about delivering SunCom customers new services such as our popular myFaves™ offering; our broad geographic reach on our highly regarded wireless network, and our industry-leading customer service.
Additional details about this particular transaction are included in a press release which is available below.
Completion of the merger is expected to occur in the second quarter 2008 although it will be subject to SunCom stockholders and certain regulatory approvals. In the meantime, I would encourage each of you to help us finish
2007 strong. Execution on our “Big 5 Initiatives” continues to be our top priority.
Before closing, it is important we all thank René Obermann, Chief Executive Officer of Deutsche Telekom along with his leadership team for their continued belief in T-Mobile USA. This merger agreement is another strong indicator of the confidence DT has in the U.S. business and our ability to continue driving profitable growth for the overall company. Frankly, this merger agreement would not have been possible without their support.
This is an exciting time to be here and all of us can take pride in this latest chapter in the T-Mobile story.
Robert Dotson
CEO & President
T-Mobile USA
I worry about wut will happen to the unplan… I’ve had suncom 4 yrs and I have unlimited text/pix, talk, internet… the works! If Tmobile takes it away, then I’m leaving suncom! Cricket phones seem to b my next option!! No unplan, I go bye-bye!
I know what you mean, the unplan is a life savor and if T-Mobile takes it away I don’t know what I will do! They told my friend that if you already have the unplan they aren’t goingt to take it from you , so hopefully, that is true!
I just received info that the change to T – Mobile will take place in early 2008! Let’s hope for the best!
To everyone asking the question… The Unplan will be gone. It will stay active for everyone that currently has that contract but as soon as the contract is up, the unplan is gone. All of the Tmobile plans will then be instituted. Tmobile signal is awful and so is Suncom. If it wasnt for the unplan Suncom would be awful. So there is your answer on the unplan.
I have 2 lines unplan w/Suncom, for $100. This merger does’nt sound too good for current Suncom customers. I’m sure gonna miss my unplan.
If i buy a T-mobile phone in Connecticut, I currently Live in Puerto Rico, can i just use it normally[if Suncom is already T-mobile] not Roaming cost, can i pay it here[PR]?
hey i have sprint and i am looking to go to t- mob how is the service? and how is the servive with suncom?
I disagree, I drove from AZ to NC with T Mob and had no outages….service all the way across country. Am going back to AZ and have Suncom now……and look forward to going back to T Mob
I currently have SunCom, and I’m just glad that with the merge, there will be more towers for better reception and over 70 new phones!!! SunCom’s phone selection is really really low for those of you who don’t have SunCom. I can’t wait for this merge!!
To all T-mobile stock holders,
After two days of trying to get a second phone on a separate account and a total of 4 hours on the phone, not only did I not get the correct billing address, I did not get the correct delivery address. After calling about the problem and being on the phone after midnight, I was told I had to wait until the next day to get the tracking number and have it changed then. Well I did that and guess what, could not do that either. I have never dealth with the most lousy service oriented company before in my life and never on God’s green earth would I ever intrust my money on investing in such a company that can not even place an order correctily. It’s your money.
T-Mobile has a roaming agreement with AT&T, so the coverage you get with AT&T is the same as T-Mobile. They both use the same GSM networks and share towers. T-Mobile just didn’t have the availability to give numbers to new customers in that market,nor was it a sound business venture to start new customers in that area until they owned thier own towers. As for G3, T-Mobile has allready bought and paid the FCC for the use of the 3G network, and it is up and running in 3 major markets, NY, Miami, and LA.
Call T-mobile and ask, that I know they don’t have romaing to begin with. Most of the islands are not considered roaming… That is before suncom.
“On Jan 24, 2008 @ 6:35 pm, Antholny Jones Said:
To all T-mobile stock holders,
After two days of trying to get a second phone on a separate account and a total of 4 hours on the phone, not only did I not get the correct billing address, I did not get the correct delivery address. After calling about the problem and being on the phone after midnight, I was told I had to wait until the next day to get the tracking number and have it changed then. Well I did that and guess what, could not do that either. I have never dealth with the most lousy service oriented company before in my life and never on God’s green earth would I ever intrust my money on investing in such a company that can not even place an order correctily. It’s your money.”
First thing, most companies are not open 24 hours a day (calling after midnight), two, you can pick up a phone at many of the dealers or tmobile stores however you have to pay for it upfront. Or you could just order a new phone through your own personal online account and submit your correct address. Unless you were attempting to get a discount on a phone when you did not qualify (we all sign contracts for a reason) and didn’t want to pay for it upfront (you have to in order to change tha address if it is different from your account’s address), or you gave the company the wrong billing address in the beginging. The fact that it sounds like the company was willing to work with you when you weren’t suppose to get a new handset is a big step over many other carriers, and that they answer the phone after midnight. Its sickning where the people in the country feel that if they do not get everylittle thing they want they complain, and will never take ownership that it was probably thier own issue to start with.
i have the suncom unplan and ive talked to one of the people that works with suncom, and they said that if youh already have the unplan right now then when t-mobile buys out suncom, it will stay intact as long as u already have it
As a RSR for T-Mobile I am pleased to hear this. I am also pleased to say that T-Mobile is coming very close to rolling out a 3G network. I hope T-Mob’s coverage and signal strength continue to grow. GSM is a good technology even though I must admit I’ve been die-hard CDMA for many years due to the cool stuff it offers like GPS and better reception and sometimes better call quality. However GSM phones are so much cooler and versatile.
T-mobile has that plan now brad!
I’m for anything dat will lower my bill n give me betta than 2 bars n South Carolina.
This proves that miracles do happen!i have lived in Durham all my life and cingular dropped so many calls and my house was always a dead zone with them,verizon i havent tried because its overpriced,sprint had bad reception,and alltel (my current provider) couldnt be better if you want terrible customer service and to get ripped off to where my $60 plan plus unlt txting and t2t and web and mobile tv and radio which was normally $110 ended up being $386.06 a month for calling people in my circle that didnt have 919 numbers.i have waited for this forever. now i can ditch alltel and get a sidekick LX
i was wondering if anyone new if my suncom nokia 5310 phone will now work for tmobile or will it be able to be unlocked for tmobile i have tried for a long time to get it unlocked and im really looking for answer
I am really excited to see what T-Mobile have to offer. I really would like to travel and have my phone work through all states.
It is about time that T Mobile comes to the Carolinas. I have been a T Mobile customer for 2 years now, and can’t wait to finally have a store here. I had Sprint and Verizon Wireless before, and did not like it. Way to go with T-Moblie!
I live in Puerto Rico, very happy with this merge, yes!
I don’t know about this agreement, b/c suncom gave an excellent plan in PR. I had 650 minutes, with unlimited weekends, incoming, weeknights, mobile-to-mobile and free roaming for 39.99. I travel around the States and pick up any cel company and use their signal for free. I wonder if I’ll get a same plan, b/c in their webpage says they will “try”to give a “similar” plan. And I was really satisfied with the costumer service. Plus the new mailbox system sucks. I’m just hoping it doesn’t get worse
T-mobile coming to NC. New store in Raleigh and Greensboro. Will be promoting this week. See my myspace for details.
finally!, but I’ll like to know if that service will get better in P.R., because in some areas like the place i live (Hatillo) the service it’s kinda lack! I’ll like to know if T-Mobile will put more GSM antennas in the island for more coverage?