Reports: Japan's Softbank eyeing MetroPCS as well as Sprint
Japan's Nikkei newspaper reported Softbank may trigger a bidding war for MetroPCS with Deutsche Telekom's T-mobile
IDG News Service - Japan's Softbank, which is in negotiations to make a major investment in U.S. operator Sprint Nextel, is also mulling a competitive bid for MetroPCS, Japanese media reported Friday.
The reports from sources such as the Nikkei, Japan's main business daily, and Kyodo News agency come as MetroPCS is in final negotiations to merge with Deutsche Telekom's T-Mobile USA. Those two firms announced they had agreed to merge earlier this month, but Softbank aims to convince MetroPCS shareholders that it can provide a better deal, the Nikkei said.
Softbank and Sprint have confirmed they are in talks, with Sprint saying they could lead to a "substantial investment." Softbank is looking to purchase at least two-thirds of its U.S. counterpart, according to reports.
Both operators are third in their respective countries, although Softbank could soon vault to number two in Japan, after a deal it announced earlier this month to acquire domestic rival eAccess for US$2 billion to help expand its mobile network.
The Japanese firm is mulling a total investment of over $30 billion in Sprint and MetroPCS, which would rank as the largest foreign acquisition of a foreign company, the Nikkei said.
A Softbank spokesman said the company had no comment on the reports of a MetroPCS deal.
The Internet conglomerate that owns Japan's third-largest as well as major online properties such as Yahoo Japan and large investments in foreign companies such as China's Alibaba Group, has aggressively expanded under the leadership of its CEO and founder Masayoshi Son.
Son has repeatedly made large gambles to expand his holdings in the past, including entering Japan's closed fixed-line Internet business, the acquisition of Vodafone's Japanese subsidiary, and betting big on Apple's first iPhone.
Combining Softbank and Sprint could make it cheaper for the new entity to purchase network equipment as well as phones and tablets for its network. Softbank's potential investments in the U.S. could also pass the scrutiny of domestic regulators, as it wouldn't reduce the number of operators in the country.
- 15 Non-Certified IT Skills Growing in Demand
- How 19 Tech Titans Target Healthcare
- Twitter Suffering From Growing Pains (and Facebook Comparisons)
- Agile Comes to Data Integration
- Slideshow: 7 security mistakes people make with their mobile device
- iOS vs. Android: Which is more secure?
- 11 sure signs you've been hacked
- Pay-as-you-Grow Data Protection: IBM Tivoli's Full-featured Data Protection Suite for Small to Medium Businesses IBM Tivoli Storage Manager Suite for Unified Recovery gives small and medium businesses the opportunity to start out with only the individual solutions...
- Streamline Data Protection with IBM Tivoli Storage Manager Operations Center IBM Tivoli Storage Manager (TSM) has been an industry-standard data protection solution for two decades. But, where most competitors focus exclusively on Backup...
- Simplify and Consolidate Data Protection for Better Business Results Learn about IBM® Tivoli® Storage Manager Operations Center, which provides advanced visualization, built-in analytics and integrated workflow automation features that leapfrog traditional backup...
- HP HAVEn: See the big picture in Big Data HP HAVEn is the industry's first comprehensive, scalable, open, and secure platform for Big Data. Enterprises are drowning in a sea of data...
- Meg Whitman presents Unlocking IT with Big Data During this Web Event you will hear Meg Whitman, President and CEO, HP discuss HAVEn - the #1 Big Data platform, as well...
- The New Way to Work Knowledge Vault This Knowledge Vault focuses on how, in today's increasingly virtual world, it's more important than ever to engage deeply with employees, suppliers, partners,... All Wireless Carriers White Papers | Webcasts