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Son is expected to talk about competition and the opportunity for partnering with other providers during his keynote speech at the conference on Thursday. So far, regulators have not been keen on the idea of allowing these two companies to combine. Since the companies compete in almost every market, allowing them to merge means consumers would lose choice. What's more, Son's argument presumes a merger would give a combined company the scale in terms of subscribers and capital to compete against the two largest operators. But what Son fails to recognize is that a merged Sprint and T-Mobile still wouldn't solve the biggest problem that Sprint and T-Mobile each face today: a lack of nationwide coverage that achieves the same breadth as either AT&T or Verizon possess.
Sprint and T-Mobile each have markets that primarily cover urban areas, and they each lack coverage in rural markets, The result is that some potential customers may get access in cities where they work, but lack coverage at home in the suburbs, Even if customers get coverage at home and at work, Sprint or T-Mobile may lack coverage other places where they travel, at&t screen protectors iphone 8 plus For many customers, this lack of coverage is a deal-breaker when it comes to signing up for service, CCA's Berry argues the hub solves this dilemma for larger operators like Sprint and T-Mobile, while also helping smaller regional and rural operators gain access to two tier 1 operators in urban centers where they don't operate..
He said Sprint's participation in particular sends a strong message to the market. "I think Sprint realizes that there are synergies from working with these smaller providers that they need to take a good long look at," he said. "This is an entirely new way of doing business in wireless."Sprint declined to comment on the hub. T-Mobile issued this statement: "T-Mobile applauds the work of CCA has done to develop a data hub for its members and we are exploring opportunities to participate. In addition, we support an ecosystem that promotes interoperability across spectrum bands."Roaming is not a new concept in the wireless world. In fact, the first mobile operators in the US operated only in small regional pockets. Every carrier in the early days roamed with other carriers to provide customers ubiquitous coverage. But roaming charges were expensive. The predecessors of AT&T and Verizon realized that the only way to reduce the cost of roaming was to build or buy nationwide coverage.
So began years of industry consolidation in which at&t screen protectors iphone 8 plus today's giants AT&T and Verizon were born, These carriers grew primarily by buying regional and rural operators throughout the country, As they bought up smaller competitors, they accumulated network assets across the US, Now these two wireless carriers are able to run their businesses without needing to roam on anyone else's network, Their purchasing power is so great that they essentially control the handset market, thus excluding smaller operators access to certain devices, They also have dominated recent spectrum auctions, and in some instances have begun carving out spectrum band plans that exclude all other operators but themselves..
The Federal Communications Commission requires all carriers, including AT&T and Verizon, to provide roaming at reasonable rates for both voice and data service. But the agency hasn't forced the two largest carriers to allow these smaller operators to roam onto their fastest 4G LTE networks. Part of the reason for this has been due to technical issues, such as the incompatible slivers of spectrum that AT&T and Verizon have used in building their initial LTE networks. The result has been that few smaller operators have been able to strike 4G LTE roaming agreements with either of the two largest carriers.
"How can smaller carriers build 4G LTE in their own footprint and tell customers they have 4G capability nationwide, when the two largest carriers refuse to enter into any 4G LTE roaming relationships with them?" Berry said, He explained that he is not aware of AT&T striking a at&t screen protectors iphone 8 plus single LTE roaming relationship with any of the roughly 100 rural carriers in the CCA, And Verizon only offers access to its 4G LTE spectrum to wireless operators in areas where Verizon doesn't operate a network, The cumulative effect on the rest of the industry has been chilling, stifling the deployment of next generation from smaller rural and regional operators..
Meanwhile, AT&T's and Verizon's dominance has also kept growth of Sprint and T-Mobile in check by making it financially impossible to build out a significant footprint outside the most populated urban markets. "It just doesn't make sense for Sprint or T-Mobile to build in some of these areas," Berry said. "You look at a company like Union Wireless in Wyoming. It has a coverage area that is larger than the country of Great Britain. But there are more cows than there are people. How do you make money in a market like that?"Berry said that Union and other small rural operators have found ways to squeak out profits. But he said it doesn't make sense for any larger carrier to replicate their own network there for the few customers that might roam into the area. In fact, he said it's three to four times more expensive to put up even one cellular tower versus roaming with a local provider.
This is where the hub comes into play, Berry said, The hub will make the process of roaming among smaller carriers, Sprint, and T-Mobile much at&t screen protectors iphone 8 plus more seamless than it has been in the past, In essence, Berry said it will create a virtual national wireless operator that collectively has a wide enough footprint to allow any small rural carrier, as well as, a T-Mobile or Sprint to truly compete against AT&T and Verizon, The way the hub works is that wireless operators are able to sign a single agreement and connect to every carrier signed up to the hub, Rates can be negotiated separately, but the business relationships are done through the hub, It allows Sprint or T-Mobile to instantly connect to hundreds of smaller wireless carriers across the US, and it allows these smaller carriers to connect to Sprint and T-Mobile as well as to each other..