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The combined firm will have more than 100 million customers, claiming the scale to compete with larger wireless rivals Verizon and AT&T.
“T-Mobile US Inc. announced today that it has officially completed its merger with Sprint Corporation to create the New T-Mobile… that will deliver a transformative 5G network,” T-Mobile and Sprint said in a statement published on both their websites.
They said the combined company will operate under the name T-Mobile.
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The final amount of the transaction was not released, but T-Mobile, a subsidiary of Deutsche Telekom, proposed $26 billion in April 2018 to buy Sprint, which is controlled by Japanese giant SoftBank.
Backers of the deal argued that combining T-Mobile and Sprint would create a strong number three US wireless carrier behind Verizon and AT&T, with the resources to invest in 5G, or fifth-generation, networks.
Critics contended it would leave consumers with fewer choices and lead to higher prices.
T-Mobile said the merger would allow for a planned investment of $40 billion into its “network, business and more” over the next three years and “at least $43 billion” in value would be unlocked for shareholders.
T-Mobile president Mike Sievert said: “During this extraordinary time, it has become abundantly clear how vital a strong and reliable network is to the world we live in.
“The New T-Mobile’s commitment to delivering a transformative broad and deep nationwide 5G network is more important and more needed than ever and what we are building is mission-critical for consumers.”
The new company has promised to provide 5G to 99 percent of the US population within six years.
T-Mobile and Sprint stocks rose 1.47 and 2.13 percent respectively following the announcement.