Boston, MA 08/26/2014 (wallstreetpr) – After having being trailed in the possible bid for T-Mobile US Inc (NYSE:TMUS), Sprint Corporation (NYSE:S) is now looking forward to take position as former’s rival. The U.S. regulators plan of not giving in to the deal between T-Mobile and Sprint because of increased competition in the cell phone market seems to be working well here.
Sprint: To Gain or To Lose- That is the Question
Sprint Corporation (NYSE:S) is working hard to make a stronger foothold in the U.S. market as T-Mobile US Inc (NYSE:TMUS)’s biggest rival in the low-price leader market share. However, as far as the investors are concerned, it seems that the company will be losing more in the deal than gaining from this title.
Sprint’s Pocket-friendly Prices for Consumers
In the previous week, Sprint Corporation (NYSE:S) introduced new cheaper plan, viz. $60-a-month unlimited plan for its consumers. This was $20 cheaper than the unlimited plan offer of T-Mobile. The new price scheme of Sprint popped up on the grounds of earlier announcement of $100 family-plan promotion, which was again better than T-Mobile US Inc (NYSE:TMUS). The data offering in this family plan was more than twice of what T-Mobile is offering.
Sprint’s Harder Times Ahead
However, what experts believe is that there are harder times for Sprint ahead as it is taking a paradigm transition from market-share loser to a gainer. T-Mobile US Inc (NYSE:TMUS), while entering the market last year with its first uncarrier promotional scheme, got on the nerves of AT&T Inc. (NYSE:T) as well as Verizon Communications Inc. (NYSE:VZ) as they too had to bring down the prices. At that time, Sprint was still planning to shut down the Nextel network.
But today, the situation is different because T-Mobile US Inc (NYSE:TMUS) has managed to grab good number of subscribers and all the carriers are in the mood of promotion. Sprint Corporation (NYSE:S), therefore will have to deal with all this meticulously because it will not be able to afford being “the cheapest carrier” for long.
