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Hollly... AT&T is buying Tmobile. O.O


illusion

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Don't know how they can afford it, but T-mobile has been predicted to go out of business last year and this year, so the owners of t-mobile were probably desperate to sell.

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http://www.cnet.com/8301-17918_1-20045205-85.html

 

Not sure exactly what thismeans as im slightly stupid, :).

But wow? What does this mean for tmobile? lol and is at&t gonna be like, a super brand now? o.o

 

at&t = alexanders telegraph and telephone corporation. at&t was started by alexander graham bell, the inventor of both technologies, plus a ton more. at&t was the only service you could get until i believe the 80's when they were finally broken up. They have been and for the foreseeable future, will be a superbrand. All telephone polls (or at least 99 percent of them) are owned by at&t. Internet companies have to pay them a royalty to use their lines.

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For T-Mobile customers it means a new company to send the bill to and as I recall T-Mobile is GSM they will be able to access At&t networks so they get expanded coverage.

 

At&t will afford it via cash, stock and debt. They have about 1.6B in cash and a market cap of $165B (oustanding shares x stock price) so the majority of othe $25B in cash payment will be financed in debt via JP Morgan. The balance of the $39B payment will be At&T stock.

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