FCC pauses review of T-Mobile's Sprint deal

FCC pauses review of T-Mobile's Sprint deal

The third- and fourth-largest wireless United States service providers submitted their Public Interest Statement to the FCC in June, but the commission has now said it is pausing the informal 180-day "transaction shot clock", which is currently at day 56, following recent submissions related to a revised network engineering model.

To review the new materials, the commission is pausing an "informal" 180-day shot clock to rule on the merger.

The third- and fourth-largest mobile carriers in the U.S agreed in April to merge in a$26 billion deal and were given a 180-day period by the FCC for the merger to be reviewed. The FCC points to three separate developments that require more time for review. The companies announced the proposed deal in April, capping four years of on-and-off talks between the third- and fourth-largest USA wireless carriers.

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"On September 5, 2018, the applicants submitted a substantially revised network engineering model", Lawrence said.

The commission told the carriers' counsel that it had received papers and guidance primarily from T-Mobile within the past two weeks that marked departures from previous statements regarding network engineering models and network buildout funding. The FCC called it "significantly larger and more complex than the engineering submissions already in the record".

What just happened? The merger between T-Mobile and Sprint will take a bit longer to get the green light from the FCC.

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Second, the FCC requires more time to review "Build 9", a business model described by T-Mobile execs Mike Sievert and Peter Ewens in a meeting on August 29th. The Commission did not receive Build 9, and third parties did not have access to it, until September 5.

T-Mobile is one of the biggest earners for its parent Deutsche Telekom of Germany. "We are confident that this transaction is pro-competitive, good for the country and good for American consumers", the company said.

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