T-Mobile's 4G Solution: Rent From Clearwire and MetroPCS?
Deutsche Telekom (DT), parent of U.S. mobile operator T-Mobile, is holding talks about gaining access to spectrum controlled by Clearwire (CLWR) and MetroPCS (PCS) as a way to build out 4G wireless service, according to Bloomberg, which cites “two people familiar with the matter.” The story says the company is also in talks with Sprint (S), which owns 51 percent of Clearwire. Recall that last week there were rumors that DT might want to acquire Sprint and merge it with T-Mobile.
The story notes that both MetroPCS and Clearwire own spectrum suitable for 4G networks. T-Mobile has yet to announce a 4G expansion plan; both Verizon (VZ) and AT&T (T) have begun upgrading their networks and plan to use the LTE standard.
