Merger will meet significant hurdles with regulators
Sprint and T-Mobile started to talk about merger late last year. With only for major carries being in the US, any merger between two of them would need approval from the DoJ. Sprint and T-Mobile executives met with the DoJ recently and word is after the meeting the chances of the merger happening are hurt according to ZDNet.
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People that claim to know about what is going on between the two say that regulators in the US are concerned about the merger making for a less competitive marketplace. Currently T-Mobile is the fourth largest wireless carrier in the US while Sprint is the third largest.
"In April, the Justice Department wrote in a comment letter to the FCC that the four wireless carriers competed in ways that are important to consumers. The FCC has sent similar signals." the WSJsays.
The merger is likely to meet significant regulatory hurdles if the two move forward. It is unclear right now if the merger talks will continue or if the two will call off talks. The DoJ will only approve the deal if it benefits consumers in the US.