Last month, T-Mobile CFO Braxton Carter teased Magenta’s plans for the upcoming 600MHz spectrum auction, including how much T-Mo plans to spend. Now a new report claims that T-Mo’s parent company may move to help it acquire that 600MHz airwaves that it desires.
Several reports have come out today that claim that Deutsche Telekom may sell T-Mobile Netherlands. According to Bloomberg’s sources, DT is considering the move to reduce debt and “acquire wireless frequencies in the US” It’s suggested that the sale of T-Mobile Netherlands could get Deutsche Telekom anywhere between 4 billion ($4.53 billion USD) and 5 billion euros ($5.7 billion USD).
Braxton Carter previously said that T-Mobile plans to use the upcoming auction to purchase 600MHz spectrum both in areas of the US that it doesn’t already cover with 700MHz airwaves, as well as 600MHz spectrum that covers major metro areas and can be used to bolster T-Mo’s existing coverage. It’s a big auction for T-Mobile, and a cash boost from Deutsche Telekom could really help T-Mo get the airwaves that it wants to further improve its network coverage, which is one thing that T-Mobile often gets knocked for, even as Magenta continues to expand its network and roll out Extended Range LTE coverage.
Thanks, Austin!
Sources: Bloomberg, MarketWatch