Technologies
T-Mobile’s 3 Years With Sprint: What’s Changed Since the Merger
T-Mobile has expanded its 5G network and kept plan and phone prices down, but other premerger pledges are still unfulfilled.
Three years ago, T-Mobile’s merger with Sprint was finalized, and the nation’s list of top carriers shrank from four to three. At the time, T-Mobile made promises that the merger would be positive for consumers and the larger mobile industry — and though that’s been more true than not, there are still some pledges that haven’t been seen through.Â
But it also hasn’t led to a worse situation for consumers, at least not yet. Though having three major carriers to choose from instead of four is worrisome for the future (with Dish so far failing to pose a real challenge), competition has kept plan prices relatively stable and even led to big savings on top-tier phones. Carriers have continued to build out their respective 5G networks, leading to new 5G home internet options for people who aren’t connected to broadband (or are looking for an alternative to their traditional cable options). It isn’t the rosiest future, but it isn’t as bad as some critics had feared.
In an April 10 blog post, T-Mobile CEO Mike Sievert trumpeted how far the carrier has come in three years, citing everything from better 5G service to the greater availability of home internet to lower prices for all, even people signing up with other carriers.
Indeed, folding in Sprint’s midband 5G towers has given T-Mobile a lead on 5G, letting it achieve nationwide coverage of more than 200 million Americans with faster 5G in 2021, years ahead of both Verizon and AT&T. T-Mobile has also improved 5G access for rural customers, Sievert said.
T-Mobile piggybacked off its larger 5G network to launch and grow its 5G home internet service. For a $50 monthly subscription fee (if they set up automatic payments), the service offers customers higher-speed connectivity compared with dial-up, costly satellite, or underdeveloped DSL or cable alternatives. Though the speeds aren’t as fast or reliable as those of a good cable or fiber connection, T-Mobile’s 5G service can reach consumers who aren’t hooked up to the highest-speed internet networks.
And as Sievert notes, competition between carriers has kept prices on par — for instance, Verizon’s comparable 5G Home service also starts at $50 per month.Â
Keeping phone plans low
As far as phone plan prices go, the carrier landscape after T-Mobile and Sprint’s merger has preserved competition in consumers’ favor, at least for the time being. Indeed, carrier discounts and deals have even led to a boom in premium phones, which climbed to up to 18% of the phone market early this year, according to IDC analyst Nabila Popal (up from 10% before the pandemic). Carriers have been desperate to get consumers signed to three-year contracts, so they’ve subsidized most or all of the price for phones like the iPhone 14 or Samsung Galaxy S23 series.
T-Mobile remains one the last of the big three providers to still offer two-year options on most of its devices, a more consumer-friendly deal. (A notable exception are pricey foldables like Samsung’s Galaxy Z Fold line, which requires a three-year commitment to get an upgrade discount.) That said, the carrier has tied some of its best perks and promotions — like free Apple TV Plus and its best device trade-in deals — to a requirement to be on its priciest Magenta Max plans.Â
On the low end of the price spectrum, T-Mobile did fulfill a premerger promise to offer a $15 per month plan with unlimited talk and text as well as 2.5GB of data, which the carrier has since increased to 3.5GB in compliance with its proposal to increase this cheap plan’s data allowance by 500MB per year. It also has said it’ll keep Mint Mobile’s $15 per month plan should its planned $1.35 billion purchase of the Ryan Reynolds’ owned prepaid carrier go through.
Another major element in T-Mobile and Sprint’s merger proposal was offering low-cost or free data plans; discounted laptops and tablets; and mobile hotspot access to 10 million low-income households. What the carrier branded as Project 10 Million has so far followed through on providing $4.8 billion in services and supplying 5.3 million students with devices through the end of 2022, a T-Mobile spokesperson told CNET.Â
The carrier hadn’t proposed a deadline for hitting the 10 million marker, but it said the program, which launched in 2020, would last five years, meaning it will expire in 2025. T-Mobile hasn’t said what’ll happen after its commitment period ends.
Merger misses: jobs fall short of promises
T-Mobile doesn’t seem to have fulfilled other pledges made for the merger. The biggest involves jobs, with then-CEO John Legere saying the new combined company would create new jobs and hire 11,000 more workers by 2024. The new T-Mobile started with around 80,000 employees in 2020, according to regulatory filings, but after losing around 5,000 employees in 2021 due to layoffs, along with more jobs shed among network and engineering as well as retail employees, the carrier so far seems to have fallen short of its promise.Â
When reached for comment, T-Mobile pushed back on the idea that the carrier employs fewer people now than it did before the merger. But it didn’t share exact personnel numbers, saying only that thousands of jobs have been created. T-Mobile also didn’t address whether it’ll make the 11,000-person hiring goal set by Legere.Â
“Before we merged with Sprint, we said we’d have more employees as a combined company than the two standalone companies would have had on their own without the merger — and we have done just that,” said a T-Mobile spokesperson. In the years since the merger, the spokesperson said, the carrier has also “created thousands of jobs for vendors and partners.”
Granted, the jobs-related proposal was made by a different CEO and before a pandemic led to layoffs and challenging economic conditions across many industries. But the current situation is still gloomier than T-Mobile had originally proposed.
The merger also shifted the balance of power among carriers. In their premerger assurances, T-Mobile and Sprint said they’d divest some of their assets to Dish, turning the satellite TV provider into the nation’s de facto fourth-largest carrier and saving the merger. Dish acquired Sprint’s prepaid mobile brand Boost and has the option to pay $3.59 billion for 800MHz wireless spectrum to form its own 5G network, though it may end up passing on the offer to save money after finishing testing the spectrum. In the meantime, Dish has secured agreements with AT&T and T-Mobile to use their 5G networks while it builds its own.Â
Though Dish finally opened sign-ups for its 5G service back in August, and launched its own $25 prepaid service in December, progress has been slow to get the carrier in line with the far more established T-Mobile, Verizon and AT&T. For now, Dish isn’t a serious threat to its bigger siblings.
What comes after the merger timeline expires?
The US Department of Justice required a lot of assurances, like those listed above, to approve the T-Mobile and Sprint merger, but they all have expiration dates. This has implications for who’s helped by the new T-Mobile’s plans — like students aided by Project 10 Million, which lasts through 2025, as well as regular consumers through plan pricing.
As part of the merger, T-Mobile agreed to lock in pricing on its plans for three years, though it’s unclear what will happen after. Last year, the carrier introduced the similarly named Price Lock as a broad feature for most of its prepaid and postpaid mobile as well as broadband internet plans, but only new customers qualify.Â
There are still a few other merger pledges stretching into the years to come. By the end of 2023, T-Mobile must provide 5G service to 97% of the population, and within six years 99%. The carrier must cover 85% of the rural American population by the end of this year, and 90% within six years. But beyond that, it’s unclear what T-Mobile has in store for consumers.
Technologies
Trump Maintains US‑Iran Negotiations Continue Amid Tehran’s Denials of Duplicity
President Trump insists that US‑Iran talks are ongoing despite Tehran’s denial of any negotiation plans, while warning that only a deal or total surrender will allow passage through the Strait of Hormuz. Conflicting statements from both sides have heightened uncertainty as the conflict enters its sixth month.
On Monday, President Donald Trump asserted that negotiations between the United States and Iran are still taking place, even after Tehran stated it has no intention of engaging in direct talks with Washington.
In a fiery Truth Social post, Trump labeled Iran’s leaders “unbelievably duplicitous,” claiming they are lying about ongoing peace talks “whether Iran wants to admit it or not.” He repeated his assertion that the United States completely controls the Strait of Hormuz, despite maritime traffic through the crucial route lingering at only a small fraction of pre‑conflict levels.
He wrote, “Nothing reaches Iran unless we allow it, and nothing will pass unless a deal—or total surrender—is achieved.”
Earlier that day, Iranian Foreign Ministry spokesperson Esmail Baghaei told reporters there is no imminent plan for U.S.–Iran negotiations, contradicting Trump’s earlier comment that talks would resume Monday afternoon. Baghaei added that Iran’s only current discussions are with Oman concerning the Strait of Hormuz.
The conflicting statements have heightened uncertainty over the peace‑talk process and the broader conflict, now in its sixth month.
Trump’s assertion about new negotiations came a day after he said on Truth Social that he had agreed to cancel a massive strike against Iran “subject to being able to rapidly make a DEAL.” He said in the same post that Iran and other Middle Eastern countries had asked him to hold off on that attack because “the perimeters of a deal has been agreed to.”
Trump has claimed dozens of times throughout the more‑than‑five‑month‑long war that a deal is at hand. No permanent deal has been signed, and a temporary ceasefire reached in June has fallen apart.
Trump has also repeatedly threatened to launch devastating strikes against Iran before backing off. After the latest example, oil prices on Monday fell and stocks surged.
BMI, a research unit of Fitch Solutions, said in a note Monday that a broader diplomatic understanding on reopening the Strait of Hormuz is still achievable this quarter, while raising the probability of its escalation scenario to 35% from 25%, citing mounting military, diplomatic and economic signs of rising U.S.-Iran tensions.
“Diplomatic progress is likely to be punctuated by periodic military flare-ups, while miscalculation by either side could trigger a renewed escalation,” BMI analysts wrote in a note. The firm said the key issue to watch is the future governance of the strait, as the Iran-Oman talks — potentially backed by Gulf states, China and the U.S. — point to efforts to build a post-conflict shipping framework.
Shipping risks persist even as diplomacy appears to be advancing. The United Kingdom Maritime Trade Operations Centre said it received a report of an incident 20 nautical miles (23 miles) northeast of Khasab, Oman — at the mouth of the strait — with a tanker’s master reporting an explosion in close proximity to the vessel at about 20:37 UTC Sunday (4:37 pm ET). The vessel and crew were safe and authorities are investigating, UKMTO said, advising ships to transit with caution.
The proposal Trump announced over the weekend calls for the U.S. and Iran to return to negotiations and continue ironing out some of the thorny issues that had derailed diplomatic efforts, according to The Associated Press, citing a regional official involved in the mediation efforts.
The official said the proposal also includes a reopening of the Hormuz Strait and halting attacks across the region, including by Iranian-backed militias in Iraq on the Arab Gulf countries and Jordan.
The U.S., for its part, will end its naval blockade on Iran and allow Tehran to export its oil, the official said, adding that no deal has been reached, although the mediation efforts remained underway.
Trump’s weekend reversal has lowered the temperature after days of escalating attacks across the Gulf. Kuwait said Saturday that Iranian forces launched a wave of drones within its airspace, with its military destroying multiple aircraft after Iran targeted critical infrastructure in the country’s north.
A parallel track with Muscat is also advancing. Iranian diplomats said Tehran was close to reaching a new arrangement with Oman to manage shipping through the Strait of Hormuz, a deal critical to preventing the war from escalating further, according to the Financial Times.
Iranian officials said negotiations over future management of the Hormuz Strait with Oman, which sits on the opposite shore of the waterway, are in their final stages. The agreed shipping route would be different from those used before, according to Iran’s Foreign Ministry spokesperson, Baghaei, adding that the new route was separate from the issue of the strait’s reopening or continued closure.
Technologies
Oil Prices Slide as Trump Halts Planned Iran Strike
Oil prices dropped after Trump cancelled a planned strike on Iran, with WTI down about 5% and Brent near 5% lower. He said the move followed requests from Tehran and regional allies for a pause while a deal shaping the Strait of Hormuz and Iran’s nuclear program is negotiated.
Oil prices fell on Monday after President Donald Trump announced he had cancelled a planned strike on Iran. WTI futures dropped roughly 5% to $80.34 a barrel, while Brent slipped about 4.7% to $83.77 a barrel.
Trump said early Sunday he called off the strike after Iran and several Middle Eastern nations asked him to hold off, noting that the outlines of a deal had been agreed upon. He added that the prospective accord would entail the immediate, full opening of the Strait of Hormuz and an end to Iran’s nuclear ambitions, according to his Truth Social post.
The president had been considering another round of strikes as diplomatic hopes waned since the conflict began on February 28. He said the U.S. and Iran would meet for talks on Monday, but Iran denied any scheduled negotiations with Washington, citing PressTV. Iran’s foreign‑ministry spokesperson Esmaeil Baghaei clarified that Tehran was only discussing shipping routes through the Strait of Hormuz with Oman. In a follow‑up Truth Social message, Trump insisted that, regardless of Iran’s acknowledgment, the United States is indeed discussing a solution to a long‑standing problem created by Iran.
Technologies
Oil Prices Drop as Trump Cancels Planned Attack on Iran
Oil prices fell sharply after President Trump announced the cancellation of a planned strike on Iran, citing a new deal that would open the Hormuz Strait and end Iran’s nuclear threat.
Oil prices fell sharply on Monday after President Donald Trump announced that he had called off a planned strike on Iran.
West Texas Intermediate futures, the U.S. benchmark, slipped roughly 5% to close at $80.34 per barrel, while Brent crude, the international benchmark, declined 4.7% to settle at $83.77 a barrel.
Trump made the announcement early Sunday, saying he had canceled the strike following requests from Tehran and other Middle Eastern countries.
In a Truth Social post, he wrote: “We have just been asked by Iran, and other Middle Eastern Countries, to hold off any attack in that the perimeters of a deal has been agreed to.”
The president indicated that the proposed agreement would include the immediate, complete, and total opening of the Hormuz Strait, as well as an end to Iran’s nuclear threat.
Trump had been weighing additional strikes amid diminishing prospects for a diplomatic resolution to the conflict that began on Feb. 28. He stated that the U.S. and Iran would hold negotiations on Monday.
Tehran denied that talks were planned with Washington, according to state news outlet PressTV.
Iran’s Foreign Ministry spokesman Esmaeil Baghaei said Tehran was only holding talks with Oman regarding the routes ships can use through the Strait of Hormuz.
In a subsequent Truth Social post, Trump added that whether “Iran wants to admit it or not, we are, in fact, talking of a solution to a problem that they have caused for decades.”
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