Sprint CEO Says T-Mobile Merger Will Lessen 5G Cost For Subscribers

Like other major telecommunication companies, merging companies Sprint and T-Mobile have been vocal about their efforts to roll out 5G connectivity starting with select cities in the United States.

However, as noted by VentureBeat, there have been earlier pronouncements made by outgoing Sprint CEO Marcelo Claure that the implementation of 5G wireless connection will mean higher subscription fees for their customers.

Fortunately for Sprint subscribers, incoming Sprint CEO Michel Combes has a different and more positive take on the anticipated price changes that 5G connectivity may incur. And Combes explained that it is greatly affected by their merger with T-Mobile, which he described as a “pro-competition" deal.

During the J.P. Morgan Global Technology, Media and Communications Conference this week, Combes stated he is “confident” that their merger with T-Mobile will push through. With that, he expects that it to bring positive impact on their upcoming 5G services including favorable pricing for consumers.

Combes explained (via Seeking Alpha), “By bringing scale for T-Mobile plus Sprint that would give to this platform the ability to invest massively in 5G and to reduce cost to carry data and hence to reduce our pricing for the customers.”

The new Sprint CEO further discussed how the Sprint and T-Mobile merger will also improve their 5G services' mobile connectivity by a huge leap. “Think about it today average speed on 4G is a 30 meg, with 5G and with the network that we are going to allot in the combined with in between T-Mobile and Sprint, we intend within four to five years to reach 450 meg average speed per subscriber meaning that it's like a fiber in its pockets,” Combes added.

It can be recalled that Sprint has recently announced three more cities in the United States where they will roll out their 5G services within the first half of 2019, which include New York City, Phoenix, and Kansas City.

Earlier this year, Sprint also confirmed that they are gearing up to offer 5G connectivity in six other cities including Chicago, Dallas, Los Angeles, Atlanta, Houston, and Washington, D.C before 2018 ends.