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

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.

Join the newsletter!

Or
Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Jay Alabaster

IDG News Service
Show Comments

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Andrew Teoh

Brother MFC-L9570CDW Multifunction Printer

Touch screen visibility and operation was great and easy to navigate. Each menu and sub-menu was in an understandable order and category

Louise Coady

Brother MFC-L9570CDW Multifunction Printer

The printer was convenient, produced clear and vibrant images and was very easy to use

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Walid Mikhael

Brother QL-820NWB Professional Label Printer

It’s easy to set up, it’s compact and quiet when printing and to top if off, the print quality is excellent. This is hands down the best printer I’ve used for printing labels.

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?