US prepaid operator MetroPCS needs to address spectrum constraints before it can even consider merging with local rival Leap Wireless, its CEO has reportedly said.
Thomas Keys was quoted by CNET saying a combination of the businesses would not solve…
US prepaid operator MetroPCS needs to address spectrum constraints before it can even consider merging with local rival Leap Wireless, its CEO has reportedly said.
Thomas Keys was quoted by CNET saying a combination of the businesses would not solve their spectrum crunch, because the larger company would be distracted by the integration and would not hold the resources to compete nationally.
Industry spectators have long called for a MetroPCS/Leap merger, because both companies are regional players and offer services using the same technology.
Regarding obtaining additional spectrum from elsewhere, Keys said the group was in a number of negotiations to tackle what he described as the biggest hurdle facing the group. He reportedly said potential spectrum partnerships include US telco Clearwire and satellite TV broadcaster Dish Network.
However, it was not clear how such partnerships would work, with Keys reportedly adding that he was not keen on forging wholesale business agreements because it would devalue the economics of MetroPCS’ business.
