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AT&T Says It Needs T-Mobile to Fix Network Problems

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Mar 23, 2011, 7:23 AM   by Eric M. Zeman

Speaking to CNN on Tuesday, AT&T CEO Ralph de la Vega said that the company's wireless network will face major problems in the short term if it can't begin to integrate T-Mobile's network into its own. He said, "With this deal, we're set. One of the key drivers (for the deal) was the need for additional spectrum. It resolves the pending spectrum challenges that we're facing in major cities." de la Vega didn't specify exactly what problems its network will face without T-Mobile, but it did say that it will make use of T-Mobile's 1700MHz AWS spectrum for LTE. Earlier this week, AT&T proposed to buy T-Mobile USA from Deutsche Telekom for $39 billion.

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Troll-Bait

Mar 23, 2011, 9:31 AM

Please brush up on what a "Monopoly" actually is before throwing the word around.

Monopoly:

"A market in which there are many buyers but only one seller."

Is AT&T a monopoly?
no

Will they become one with the T-Mobile merger?
no

Can you switch providers at will?
yes

If you sign a contract with a carrier, can they change it?
no

If you don't like AT&T do you HAVE to purchase them in-order to have cellular service?
no

Are there other cellular companies that provide comparable, if not better services and rates?
yes
I've not seen anyone use Monopoly in any statements yet.

Duopoly I've seen a lot.

And it slowly is crawling towards only having two national carriers.
...
You're wrong, they can. They do it all of the time. Read any of the Terms of Service for any major cell phone provider.

Also, monopoly? No. Duopoly? Yes.
...
WiWavelength

Mar 23, 2011, 10:06 AM

"Spectrum shortage"? You ain't got no "spectrum shortage"!

ATT & CEO Ralph de la Vega would lend far more credence to the "spectrum shortage" argument if AT&T were actually using the spectrum that AT&T acquired at FCC auctions and through other acquisitions the past five years.

Following the AWS 2100+1700 MHz auction in 2006 and the Upper/Lower 700 MHz auction in 2008, Phonescoop published a "Visual Guide" to the results of each auction. Take a look at the breadth of the spectrum that AT&T acquired.

AT&T AWS 2100+1700 MHz spectrum licensed footprint:

http://img.phonescoop.com/img/a/m/17532.gif »

AT&T Lower 700 MHz spectrum licensed footprint:

http://img.phonescoop.com/img/a/m/8661.gif »

AT&T has put none of that spectrum into commercial use. To repeat, none. No W-CDMA 2100+1700, as ...
(continues)
I too was very surprised that the FCC hasn't forced them to utilize these spectrum holdings.

I have filed a complaint as of March 19th with the FCC on my thoughts and oppositional rendering of what the real issue is here.

Curious to know wheth...
(continues)
...
It would cost more to roll out than buying T-Mobiles assets. I feel sorry for all the people that are about to get the boot. It's hard to find jobs right now.
...
Question AJ,

The map shows an a great amount of spectrum. Why was ATT not given a time frame to use this? What is the difference in their situation as opposed to Sprint's timeline with their holdings?

John B.
...
Exactly. One would have no idea that Verizon and AT&T even owned AWS spectrum as all they have done with it so far is hoard it.
boggerscbshop

Mar 23, 2011, 6:37 PM

AT&T Needs to fix their own network before telling others to fix theirs don't you think?

AT&T.... Leader of dropped calls and limited data.
Not that I disagree, but I think the article was trying to say that "Att needs Tmob's network to make Att's network better" not that Att needs Tmob to improve Tmob's own network.
They get 1700 for LTE and some additional 1900... too much in some area...
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ant1171984

Mar 23, 2011, 7:29 AM

It's just lovely....

How big blue needs more specturm so they will rape (x amount of millions of customers. I just freakin left at&t for better plans with T-mobile and NO data cap. I know my contract will be carried out till end of term, but whenever we upgrade we are likely going to be stuck on freakin expen$ive a$$ at&t plans! It's just not right. AT&t if they gave a sh!t would adopt t-mobile plans if this goes through! Not like they will be loosing any freakin $$$
Monopoly anyone? Get ready to be used and abused. ATT does not care about customers. And with this merger they will care even less. Here is a example of a conversation.

( ATT Agent ) Good Morning thank you for calling ATT how may I help you?

(...
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...
You do realize that even after you upgrade, unless you yourself request to make a change in plans that you'll still be grandfathered in right? There are people who still have CellularOne plans with fresh contracts, they just never opted to change out....
(continues)
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netboy

Mar 23, 2011, 8:31 AM

I AGREE!

I been to places where there's no att signals, only T-Mobile signals pop up! I'm unable to connect cus att won't allow it! after merger I will be able to connect to T-Mobile towers! Nice!
Actually, it was T-Mobile that declined to renew their roaming partnership. *cough* >.>
mycool

Mar 23, 2011, 8:23 AM

Or...

If they're having capacity issues, why not just have an agreement to lease network capacity instead?
tova

Mar 23, 2011, 8:01 AM

Needs T-Mo

BULL!!! ATT needs T-Mo so it can end its superiority war with Verizon and save billions in advertising. ATT can finally say "I am the biggest" Get out your rulers, boyz.
 
 
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