Rival wireless carriers Sprint and T-Mobile have reportedly ended merger talks after failing to agree on which side would have majority ownership of the combined company.
SoftBank-owned Sprint and Deutsche Telekom-backed T-Mobile have been in extended, active talks about a stock-for-stock merger that would leave Deutsche Telekom as the majority owner of both carriers.
But according to reports, SoftBank’s board met last week and reversed their position, determining that Sprint would not give up majority control of the combined company. The board decided on Monday to call off the merger talks.
The two companies previously held merger talks in 2014, that time with Sprint angling to become the majority owner of the two carriers, but the deal fell through over regulatory concerns under then-President Barack Obama.
The long-sought deal came back to life earlier this year, with T-Mobile CEO John Legere suggesting that a Sprint merger could be a “a potential future outcome” thanks to the softened regulatory environment under President Trump and the new head of the Federal Communications Commission.
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In what is likely to be its last quarterly report before a merger with T-Mobile gets announced, Sprint saw its highest growth rate in more than two years.
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