T-Mobile brand could be gone by 2011?

Now this is a hard one too swallow. 24/7 Wall St has posted content yesterday that is essentially saying T-Mobile and a few other companies better hold on for dear life in the near future as they could very well be subject to sinking in the economic turmoil that is evident at this stage in the US economy.

27/7 Wall St is a financial news and opinion site that is based out of Delaware. Their content is regularly picked up by some highly visible websites, including the Wall Street Journal online. In a recent article published by Yahoo Finance the site claimed that the telecom company could very well be in some trouble and subject to closing its doors by 2011. But is that really possible? Let’s explore 24/7 Wall St’s findings

 T-Mobile is owned by a larger company called Deutsche Telekom and is currently listed as the 4th largest cellular company on American soil. T-Mobile currently is listed as having 34 million users, while the third place company Sprint is currently clocking 50 million users. In 2009 T-Mobile reported profits of 306 million. Not too bad until you see they made 483 million the previous year a loss of about 177 million dollars in around 365 days. T-Mobile has gone head to head with the big boys for years and has perpetuated their company to the top of the list doing it. However when competing with the likes of At&t and Verizon you will need to be able to keep up with the curve. The curve that I’m speaking of is 4G; Sprint is currently implementing its fourth generation of the cellular technology, while Verizon will be pushing out its LTE soon. But T-Mobile seemingly does not have a leg to stand on when speaking of the new 4G technology. In this situation one could potentially see T-Mobile attempt at finding a partner to team up with for T-Mobile based 4G, however most of these carriers will announce their new service before it is completely finished. Leaving T-Mobile in the dust per say. Rumors of a T-Mobile Sprint-Nextel merger have been tossed around for quite some time now but seem unlikely. 24/7 Wall St stated that if this merger did take place the customer base would rival that of At&t and Verizon. Other possibilities noted by 24/7 Wall St are a potential merger with Virgin Mobile.

I guess only time will tell, huh. The news of a large company like T-Mobile sinking in less than a year from now is very hard to believe. But with the “sunk” economy and high level of competition, anything is possible

Tell us what you think of this being remotely possible.

Can T-Mobile push out 4G technology on their own?

Tags: