How Would A Sprint/T-Mobile Merger Affect Professionals in the Industry?Comments Off on How Would A Sprint/T-Mobile Merger Affect Professionals in the Industry?
After the announcement that Sprint was considering making a bid for T-Mobile, Crown Castle International and American Tower Corporation released statements regarding this potential merger and many people are wondering how this change with affect them. The Wall Street Journal reported that Sprint may place a bid within the next six months to acquire T-Mobile for more than $20 billion. With Sprint and T-Mobile sharing spots on many of the same towers, the tower companies are worried about what this will do to business. American Tower released on Monday that after the quarter ended September 30, 2013 Sprint and T-Mobile accounted for 16% and 10% of the company’s operating revenue. American Tower currently has separate leases for antenna space with Sprint and T-Mobile on the same site at approximately 5,500 communications sites. Crown Castle announced that Sprint and T-Mobile represented approximately 23% and 22%, respectively, of CCI’s consolidated site rental revenues. Crown Castle also owns about 8,000 towers on which both carriers reside, with approximately six years of current term remaining on all lease agreements with Sprint and eight years left on all lease agreements with T-Mobile.
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