Feeds

AT&T Wireless awaits prom call from Vodafone

Please bid for us

  • alert
  • submit to reddit

The essential guide to IT transformation

Investors in AT&T Wireless, which has officially confirmed that it is up for auction, are anxious to see a bidding war develop for the giant US carrier, as the Friday 13 deadline for bids approaches. But so far, Cingular remains the er, singular suitor for the $30 billion carrier.

Deutsche Telekom, which operates in the US market as T-Mobile, Vodafone and NTT DoCoMo are thought to be the most likely rivals to Cingular, but each has good reason to stay its hand. Debt-laden Deutsche Telekom is still counting the cost of its acquisition spree during the dot.com bubble. Vodafone meanwhile owns 45 per cent of Verizon Wireless, and Verizon is committed to CDMA for the long run: so there are few economies of scale likely from technical consolidation, and a lot of potential integration headaches. Japan's vertically-integrated Phonezilla NTT DoCoMo already owns a 16 per cent stake in AT&T Wireless, which brands its data services mMode. DoCoMo announced profits (net income) of $4.68 billion for the most recent nine-month period, although it faces a tough fight at home in Japan.

Verizon could buy its way out of the deal with Vodafone, with Vodafone's stake worth some $23 bilLion. Verizon has a coherent network vision that stands in good stead for any disruptive shifts in the market, such as VoIP.

On Monday, Vodafone was reported to be working on its bid, but the phone still hasn't rung. Who's going to take a gal to the prom? ®

Related Stories

Cingular eyes AT&T Wireless for mobile mega merger
Cingular eyeing AT&T Wireless again
Vodafone weighs up US options
Vodafone preps bid for AT&T Wirelesss - report

Secure remote control for conventional and virtual desktops

More from The Register

next story
Déjà vu: Virgin Media jacks up broadband prices
Screw copper phone lines, we're UNIQUE, bleats telco
UK fuzz want PINCODES on ALL mobile phones
Met Police calls for mandatory passwords on all new mobes
Netflix swallows yet another bitter pill, inks peering deal with TWC
Net neutrality crusader once again pays up for priority access
New Sprint CEO says he will lower axe on staff – but prices come first
'Very disruptive' new rates to be revealed next week
US TV stations bowl sueball directly at FCC's spectrum mega-sale
Broadcasters upset about coverage and cost as they shift up and down the dials
What's the nature of your emergency, Vodafone?
Oh, you've dialled the wrong number for ad fibs, rules ASA
EE network whacked by 'PDP authentication failure' blunder
Carrier is 'aware' of cockup, working on a fix NOW
ROAD TRIP! An FCC road trip – Leahy demands net neutrality debate across US
You crashed watchdog's site, now time to crash its ears
Google's so smart it's discovered SHARKS HAVE TEETH
Congratulations, world media, for rediscovering submarine cable armour
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
7 Elements of Radically Simple OS Migration
Avoid the typical headaches of OS migration during your next project by learning about 7 elements of radically simple OS migration.
BYOD's dark side: Data protection
An endpoint data protection solution that adds value to the user and the organization so it can protect itself from data loss as well as leverage corporate data.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?