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Department of Justice
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FOR IMMEDIATE RELEASE
Wednesday, November 27, 2019

Justice Department Welcomes Texas Joining T-Mobile/Sprint Settlement

Texas Leaves the New York and California Litigation and Becomes the Tenth State to Join the Justice Department’s Resolution

Today, Texas is seeking to join the United States, Arkansas, Colorado, Florida, Kansas, Louisiana, Nebraska, Ohio, Oklahoma and South Dakota in the suit and proposed settlement relating to the proposed merger of T-Mobile and Sprint.  The settlement requires a substantial divestiture package in order to launch Dish Network Corp., a Colorado-based satellite television provider, as a fourth nationwide provider of retail mobile wireless services.  The settlement also will expedite the deployment of multiple high-quality 5G networks for the benefit of American consumers and entrepreneurs.

“We are pleased that Texas has joined other states in leaving the New York and California litigation and in deciding to join our settlement,” said Assistant Attorney General Makan Delrahim of the Justice Department’s Antitrust Division.  “The merger, coupled with competition from DISH, will benefit Texans and American consumers nationwide.” 

The Department’s Antitrust Division and now 10 co-plaintiff states have sued to block this transaction, and have agreed to settle the lawsuit based on the proposed settlement.  That settlement, if approved by the court, would resolve the Justice Department’s and the co-plaintiff states’ competitive concerns.

Under the terms of the proposed settlement, T-Mobile and Sprint must divest Sprint’s prepaid business, including Boost Mobile, Virgin Mobile and Sprint prepaid, to Dish.  The proposed settlement also provides for the divestiture of certain spectrum assets to Dish.  Additionally, T-Mobile and Sprint must make available to Dish at least 20,000 cell sites and hundreds of retail locations.  T-Mobile must also provide Dish with robust access to the T-Mobile network for a period of seven years while Dish builds out its own 5G network.

T-Mobile U.S. Inc. is a Delaware corporation headquartered in Bellevue, Washington.  In 2018, T-Mobile posted revenues of more than $43 billion.  Deutsche Telekom AG, a German corporation headquartered in Bonn, Germany, is the controlling shareholder of T-Mobile U.S. Inc. 

Sprint Corporation is a Delaware corporation headquartered in Overland Park, Kansas.  In 2018, its posted revenue was over $32 billion.  Sprint is controlled by SoftBank Group Corp., a Japanese Corporation headquartered in Tokyo, Japan.

Topic(s): 
Antitrust
Component(s): 
Press Release Number: 
19-1320
Updated November 27, 2019