It looks like T-Mobile US Inc (NYSE:TMUS) will not become an easy acquisition target soon as Tom Wheeler, chairman of the Federal Communications Commission (FCC), has voiced his agency’s skepticism about any party buying the wireless carrier.
According to Re/Code, Wheeler made the remark about a possible T-Mobile US Inc (NYSE:TMUS) acquisition during a speech at the Super Mobility Week organized by the CTIA, the trade group that speaks for the wireless telecommunications industry.
“We will continue to be skeptical of efforts to achieve scale through the consolidation of major players,” Wheeler is quoted by Re/Code as saying in the conference.
The publication reported that Wheeler said this after commending his agency and the Department of Justice for being vocal in their opposition to the Sprint Corporation (NYSE:S) and T-Mobile US Inc (NYSE:TMUS) merger.
He said, according to Re/Code, that the failure of this deal has resulted in the American consumer being the “beneficiary” of “new pricing and new services that have been spurred by competition.”
Apart from his agency’s stand on a possible buyout of T-Mobile US Inc (NYSE:TMUS), Wheeler also remarked how he and his team are not happy about network management practices of some wireless carriers. Particularly cited in the Re/Code report is Verizon Communications Inc. (NYSE:VZ) which has been the subject of recent complaints of unlimited data subscribers allegedly being throttled.
Furthermore, he vaguely touched on net neutrality during his speech, Re/Code said. According to the report, Wheeler maintained that his agency should treat the issue with its current approach going forward.
Meanwhile, Wheeler also expressed that his agency is excited about the interest AT&T Inc. (NYSE:T) and DISH Network Corp (NASDAQ:DISH) expressed in the coming spectrum auction of the agency.
John Paulson’s Paulson & Co reported about 13.16 million shares in T-Mobile US Inc (NYSE:TMUS) by the end of the second quarter. This stake was valued at about $442.37 million at the time the hedge fund reported the stake which accounted for 1.91% of its whole portfolio.
Disclosure: None
Suggested Articles:
Jobs That Will Always Be Needed
