I'm sure many of you remember the failed sale of AT&T trying to buy T-Mobile back in 2011. It was the result of Deutsche Telekom trying to sell off T-Mobile and get out of the US. As they own 67% of the fourth largest carrier over here. Well according to Deutsche Telekom's newly appointed CEO, it appears that the value of T-Mobile is back to where it was a little over 2 years ago when AT&T attempted to buy them.
"We already have increased the value to what it was at the sale" said Deutsche Telekom's new CEO, Timotheus Hoettges. "That means with 67 percent of a company that's worth $42 billion, we're already back at the value of the AT&T deal."
You could probably largely contribute that to John Legere and the Uncarrier movement he's been doing for the past year. Lately, he's been pulling out all the stops to get customers to switch over to magenta. And quite frankly everyone is talking about T-Mobile now. T-Mobile has also added over 4 million customers in 2013, and with unleashing phase 4 o the Uncarrier - where T-Mobile will pay your ETF to come join Magenta - I believe those numbers will go even higher. In addition to T-Mobile going through with their whole Uncarrier thing, and shaking up the industry. They also merged with Metro PCS in 2013, which allowed T-Mobile to start rolling out their LTE network. Sure they were last to the party, but they don't have the smallest, or slowest LTE network out there. T-Mobile covered over 200 million people with LTE in under a years' time. That's pretty good if you ask me. Of course, they probably learned from the mistakes of AT&T, and Verizon. And possibly even Sprint, with their LTE networks.
Now the burning question. Yes, Hoettges was asked about Softbank/Sprint looking to buy T-Mobile. Of course, he did refuse to comment on the matter. What's interesting though, which TmoNews brought up, is that Deutsche Telekom kind of has two ways of looking at this. T-Mobile USA is hot right now and it might be the best time for them to sell. Or with T-Mobile just launching Uncarrier Phase 4, it could be Deutsche Telekom's biggest asset. As it's now one of their hottest properties. It's going to be interesting what happens here, especially with Deutsche Telekom having a new CEO now.
T-Mobile's value is definitely climbing, which is something we all like to see. Because we all like to see competition. I'm still hoping that Deutsche Telekom won't sell T-Mobile, because that would mean less competition in the wireless space, and that's not good for the consumer.