News - February 12, 2019
INCOMPAS Announces Opposition to T-Mobile Sprint Merger
Trade Group will also Join 4Competition Coalition to Raise Awareness on Potential Harms
WASHINGTON, D.C. (February 12, 2019) – INCOMPAS, the internet and competitive networks trade association, is announcing its opposition to the proposed merger between T-Mobile and Sprint today.
In a Medium post from Chip Pickering, CEO of INCOMPAS, the trade association warns the T-Mobile Sprint merger, as proposed, will hurt wholesale rates that impact competition, customers and the communication ecosystem necessary to building a 5G future.
INCOMPAS will also join the 4Competition Coalition and consumer and public interest voices raising concerns about the merger.
Sprint was a founding member of the trade association in 1981, and T-Mobile has been a member as well. INCOMPAS, who represents a number of competitive fiber builders, is hoping to raise the impact of wholesale as policy makers deliberate the merger.
Quotes from Chip Pickering, CEO of INCOMPAS, in the Medium piece:
“Today, INCOMPAS is announcing our opposition to the merger between our friends T-Mobile and Sprint. As currently proposed, the merger threatens to undercut the competitive wireless ecosystem that has been the shining star for competition and choice. Here’s why: wholesale = competition.”
“T-Mobile’s pledge to honor its current legacy rate plans would not prevent the company from increasing wholesale prices for its smaller resale partners. And it is easy to foresee a situation where the new T-Mobile raises its wholesale prices as a way to offset revenue lost as a result of this pledge.
“Think about it, this means customers who choose not to use T-Mo/Sprint, and go with another service provider, could actually be paying for this merger. That’s not right.”
“The fight for more competition is a real fight. It’s one we must win, or the 5G future will be nothing more than a marketing gimmick. Building 5G networks should create competition and jobs for hundreds of US companies, not just large wireless providers. T-Mobile and Sprint have been important soldiers in these battles for more competition, and while I understand their desire to wed, I believe consumers want them to keep playing the field.”
INCOMPAS, the internet and competitive networks association, is the leading trade group advocating for competition policy across all networks. INCOMPAS represents Internet, streaming, communications and technology companies large and small, advocating for laws and policies that promote competition, innovation and economic development. Learn more at www.incompas.org or follow us on Twitter: @INCOMPAS @ChipPickering