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Dish urges FCC to postpone Sprint-Softbank deal

In a rather curious turn of events on April 15th, Dish made a buyout offer for Sprint of some $25.5 billion dollars, over $5 billion more than what has been agreed upon by Sprint and Softbank previously. In order for Dish to increase the chances of its deal being accepted, however, it is urging the FCC (Federal Communications Commission) to postpone its review of the Softbank deal. As Sprint's board looks over the deal independently, the FCC's evaluation of Softbank's proposal will move along as planned if it isn't blocked or postponed.

The original deal, according to chairman of the FCC Julius Genachowski, was expected to go through by the end of May. Postponing the deal would give Dish more of a fair shot at convincing Sprint that its deal is more lucrative. The up-front purchase price being $5 billion higher certainly sounds better on paper, but there are more components to these large deals. Though Softbank's bid has been on the table for some time now, we would expect Sprint to take a long, hard look at the latest offer.

Source: Bloomberg

Andrew was an Executive Editor, U.S. at Android Central between 2012 and 2020.

  • Dish scares me--not going to lie. Do a Google search for "Dish Network bad company" and see the Business Week article entitled "Dish Netowork: The Meanest Company in America." And that's just the very first article I came up with. They've done some pretty crappy things to their customers.
  • You obviously didn't read the article. DISH is the meanest company in America towards it's employees, not customers - DISH currently has the highest ACSI (American Consumer Satisfaction Index) rating of all satellite and cable companies. Now we can debate Charlie's management style (which seems to leave ample room for improvement), but one thing that can't be debated is his style has reaped financial rewards that continually beat Wall Street estimates. My money is on Charlie and his vision for a merged DISH/Sprint.
  • Financially successful doesn't necessarily mean good for consumers (and you're right, I didn't read the whole article). I don't want to buy from a company that treats its employees like crap. I also don't want to buy from a company that cut TV off to millions of customers because it gets into a childish debate (Google AMC and Dish network). Obviously, Dish doesn't exactly put customers first (and yes, AMC surely had some share of the blame there, but it didn't get cut off from my TV service, nor Time Warner, or Comcast, or FiOS--you get the idea).
  • All providers do that. Directv has done it as has Mediacom. Honestly it says more positive for the provider as they are working to get these channels at a lower cost when the networks are looking to raise those prices. A raise in network costs means a raise in what we pay per month.
  • Still doesn't change the fact that I don't like the way they do business. :-) And my TV rates haven't gone up--I've not lost AMC (nor any other mainstream channel). I realize that's anecdotal, but it seems that ComCast, TWC , DirecTV, and DISH go through this crap more often than other providers. I sure as heck don't want my mobile service married to that kind of drama fest.
  • Firstly, it was AMC who initiated the lawsuit, AMC also asked for more money, secondly, Dish had no choice but to cut off the AMC signal. After all, Dish and AMC were going through litigation.
  • A Google search is not research. Competitors & disenchanted former employees set up bogus stories all the time. I'm not saying you're wrong, just that a Google search or an individual online article is not a reliable source.
  • I agree completely. :-) I was just presenting it as a quick option to see some evidence from a fairly reputable news source. Also, maybe both mergers/purchases suck for the customer, and Sprint should try staying independent? I don't know--I don't have enough information to make a more complete decision. All I'm saying, is Dish makes me nervous based on their history.
  • I would rather have the Softbank deal go through. I like the idea of getting a different mobile perspective/strategy in the US.
  • Yeah, I like the way T-Mo is shaking things up--we need MORE of that. For the love of all things holy, can we please get competitive rates AND good coverage?
  • Agreed! I'm tired of being gouged by big red. Love the quality of service, but I'm sick of paying so much and living in fear of losing my unlimited plan. I realize that they're a corporation and their first commitment is to the share holders, but something has to give at some point where customers take precedence over profit at all costs.
  • You will get no good coverage for T-MO. In addition my sister worked for T-MO and if you think Dish treats its emplyees bad you will love the boiler room environment at T-MO. Another word on dish, I have been a customer of theirs from the beginning. Their customer service is over the top great, their technology is head and shoulders ahead of Direct. And I have talked with many Dish employees and they are all happy results oriented people who love the company because it continually succeeds and achieves. So you are free to spend you money on any B grade or below provider you choose. The only employees that are whining are ones that no longer work there which is better for both them and Dish. Gee, the free market actually works. Who Knew?
  • I said it in the other article and I'll say it again. The Softbank/Sprint deal is absolutely the best thing for sprint and the US mobile market. I don't want better deals, sprint already offers great deals. I don't want to switch my cable provider. If sprint successfully acquires the rest of clearwire (Which is bringing TD LTE to all of america which will have speeds that will obliterate not only current '4G' but your home internet speeds),combined with the technological improvements softbank will provide, it will be poised to be the number one company in America for wireless service period.
  • As a subscriber, that'd be nice. :-)
  • The more I am learning about Softbank, the FCC needs to throw a wrench into their proposal.
  • Please explain?
  • Softbank not only charges foreign customers more than domestic customers, sometimes foreign customers are double billed. I've learned that via an associate of mine, the company she works for sends employees to Japan for business travel. Also, If the Softbank deal is approved it will give the Japanese control of the majority of spectrum in the U.S. Which translates to a lot more politics at play. Not to mention Softbank is basically a family run business.
  • Why would they change their billing system in the US? Also, a large part of US spectrum is already foreign-owned (T-mobile is a German company, & Verizon Wireless is 45% owned by Vodafone, which is based in the UK).
  • I'm waiting for AMC to play a commercial that says, "The Walking Dead, not available on Sprint!" I'm leaning toward SoftBank's side on this.
  • I would rather have Dish Network, an American company merge with Sprint, not a Japanese one. People who are for this is what's wrong with this country, keep American businesses American.
  • The smaller players in the US cellular industry – including Clearwire, Leap Wireless, MetroPCS, Sprint and T-Mobile – are being re-shaped through a series of mergers and acquisitions. Where will it leave the industry? Article on this: