No Price Hike for 3 Years, CEO Says — Mobile Sprint Merger

T-Mobile tells FCC that if Sprint deal closes, prices won't rise for at least three years

The company also reiterated its plan to use Sprint's 2.5 GHz spectrum and T-Mobile's nationwide block of 600 MHz for its 5G deployment.

"New T-Mobile will make available the same or better rate plans for our services as those offered today by T-Mobile or Sprint", Legere wrote in a brief letter to Federal Communications Commission chairman Ajit Pai. My management team and I can make this personal commitment because we believe in delivering on our promises, and we know if we do not, we will lose credibility and the trust of our customers.

CEO John Leger says if the FCC approves its $26 billion merger with Sprint, T-Mobile will put price increases on hold.

What was to be a joint House panel hearing for T-Mobile (NASDAQ:TMUS) and Sprint (NYSE:S) over their proposed merger will now be two hearings. T-Mobile has been by far the fastest growing wireless carrier in recent years, but ended 2018 with just under 80 million customers, trailing AT&T (t) and Verizon (vz), which reported 153 million and 118 million subscribers, respectively. He promises that the "New T-Mobile" won't have higher prices than today for at least three years.

T-Mobile CEO John Legere poses with Spring CEO Marcelo Claure before a Senate subcommittee hearing.

Critics of the merger have alleged that the merged entity, New T-Mobile, would take advantage of its stronger position and hike rates. If the company's merger with Sprint is approved, it claims to "create the highest capacity network in US history". Monroe County has already contacted T-Mobile to offer our unique workforce development programming, like LadderzUp and Recruiting on the Road, to help link our residents to the company's new jobs here. "Rather, our merger will ensure that American consumers will pay less and get more".

Shares of T-Mobile were down 3.69 percent as of 4:04 p.m. ET on Tuesday, while shares of Sprint were down 6.09 percent.

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