M&A looms as US telcos strive for spectrum


Posted on March 19, 2011  /  0 Comments

The US wireless industry is at the cross-road. Spectrum is becoming dearer as the smart devices are flooding the market. It’s multiplying the consumers voracious appetite for bandwidth by manifolds. This phenomenon is pushing the small and medium telcos to acquire more airwaves. But there is none left. Living together (strategic partnership) or getting married (M&A) could save them. But the satisfaction is not guaranteed.

Not all well-matched couples end up marrying. Wall Street has clamored for a deal between MetroPCS and Leap Wireless. So far, they haven’t reached a deal.

The question is: do they have many choices, any choice at all? There is no room for small or medium telcos in 21st century. It may sound rude but that’s the undeniable reality in and beyond the USA. Reuters reports.

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