When you think of Sprint/ Nextel you see landlines, smart
phones, and Internet service for tablets and PC’s. When you think of Dish
network you see television on demand at home via satellite or away from home
with use of the dish network sling and mobile app (in an area with high speed wifi of course).
Now you may be thinking of that old Captain Planet saying
“with their powers combined!” they could be something even greater. The number
three Satellite/ Cable TV provider in the nation joining up with the number
three mobile service provider; that idea was on its way of becoming reality,
but Sprint Nextel ended conversation with Dish Network over the sale of the
wireless company June 10. Sprint Nextel now supports a second bid by Softbank, a
telecommunications and internet corporation in Japan.
Softbank first bid was $20.1 billion and now is $21.6
billion including $16.6 billion of it being cash (money talks). The deal with
Sprint/ Nextel would give Softbank a 78% stake in the company.
The $25.5 billion dollar buyout by Dish Network was going to
create the only U.S. company having a convenient and “fully integrated nationwide
bundle of in and out of home video, broadband and voice service”.
Charlie Ergen Co-founder of what is now Dish Network had and
still has the option to counteroffer till June 18, but Ergen stated Dish would
analyze the Softbank bid and consider their strategic options(a big not likely).
With a chance to revamp the two companies into number one
status, Ergen should’ve done everything he could to get the sale. Mobile
technology is the wave of the future, and if Dish is the main provider of convenient
usage, the masses will eventually flock to them. The problem with sprint is
that their network is lacking causing bad and limited connectivity; the problem with Dish is too many technical
difficulties and horrible customer service. (Dish has the satellite if you got
the towers and toys). If Dish doesn’t pick up the ball before its too late, then
what a waste.
Hopefully Softbank will at least bring sprint back to their
previous status. The only thing sprint has going for them now is their “simply
everything plan”, which isn’t as appealing as when first launched.
Dish Network has been having nothing but bad luck, losing
166,000 subscribers. Dish was not going to lose in the industry wars, so they played a trump card
that should not of been played, they introduced the “Hopper”, which allowed
customers to watch their television programming without commercial
interruption. The device brought back all their lost subscribers plus 86,000.
Good idea? NO! The film and television industry took this as an attack and all
the major networks filed lawsuits against Ergen, because advertisement is they
livelihood. One way or another, ads are shown which produce the revenue for
networks.
So Ergen dealt his hand at the hopper and now he’s
supposedly passing up on Sprint. They should just call him “bad luck chuck”
because it seems like every decision never works out the way intended or maybe
it is…
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