EU court gets T-Mobile Austria telecom merger appeal

Reuters

T-Mobile Austria claimed partial victory on Monday in its legal battle against the allocation of radio frequencies resulting from rival Hutchison Whampoa's takeover of Orange Austria.

The Deutsche Telekom (Bonn, Germany) unit said in a blog entry on its website that an administrative court in Vienna had referred the case to the European Court of Justice.

T-Mobile said this confirmed its view that it had suffered a decisive competitive disadvantage by the spectrum allocation, which it says gives its rivals a major head start in building next-generation networks.

Ericsson sees tough fight in Chinese 4G, brighter signs elsewhere

Reuters

Ericsson expects cut-throat competition between telecoms equipment makers as China prepares to spend billions of dollars on high-speed networks, punishing margins at a time when profitability is already under pressure.

A decade-long price war launched by Chinese vendors Huawei (Shenzhen, China) and ZTE (Shenzhen, China) has already forced suppliers like Nortel and Motorola out of the market while smaller players like Alcatel-Lucent (Paris, France) are mired in losses.

China's 4G bonanza to shake up mobile bear vendor market

Reuters

Chinese telecom operators will start awarding contracts for super-fast mobile networks this year, kicking off the third wave of a global investment cycle that is reshaping the competitive landscape among telecom equipment makers.

China, the world's biggest mobile market with 1.1 billion subscribers, is likely to further alter the picture at the expense of European suppliers by giving a huge boost to Huawei (Shenzhen, China) and its smaller Chinese rival ZTE (Shenzhen, China).

Mobile broadband demand pushes Ericsson Brazil plant to capacity

Reuters

Strong demand for mobile broadband equipment in Latin America will keep Ericsson's plant in Brazil at full capacity this year, says a senior executive at the telecom equipment manufacturer.

Mobile phone operators in Brazil are scrambling to improve their networks after heavy scrutiny from regulators because of poor service and a lack of investment in mobile infrastructure in recent years. The problems came despite a ballooning client base in Latin America's biggest economy.

MetroPCS shareholders approve merger with T-Mobile USA

MetroPCS shareholders have given their blessing to the proposed merger of the operator with T-Mobile USA, removing the final obstacle to the deal, which is now expected to close by May 1.

According to a statement from T-Mobile USA (Bellevue, WA, USA) owner Deutsche Telekom (Bonn, Germany), a majority of MetroPCS (Richardson, TX, USA) shareholders voted in favor of the merger on Wednesday.

Crest urges Clearwire to "shun" Sprint's offer

Investment company Crest Financial has once again lashed out at Sprint’s proposed takeover of Clearwire, urging Clearwire’s management to shun the “coercive” terms.

Crest (Cerritos, CA, USA) owns a 5.1% stake in Clearwire (Bellevue, WA, USA) and claims to be the largest shareholder that is unaligned with Sprint.

The company is vehemently opposed to the deal, which would see Sprint (Overland Park, KS, USA) acquire full control of Clearwire, and last month hired proxy-solicitation firm D.F. King & Co. (New York City, NY, USA) to help it fight the planned takeover.

France Telecom bets on 4G to blunt pain at home

Reuters

France Telecom is focusing on new superfast mobile services to repair the damage done by a costly price war in its home market, which has eroded its market share and profitability.

Europe's fourth-biggest telecom operator posted a 4 percent drop in first-quarter sales on Wednesday due to mobile price cuts in France, weak corporate demand, and regulatory changes.

Operating cash flow fell 12.9 percent to 1.98 billion euros ($2.58 billion), showing how the operator's home market had become less profitable after the launch of low-cost rival Iliad (Paris, France).

AT&T revenue disappoints as it loses cellphone subscribers

Reuters

AT&T Inc reported a net loss of cellphone subscribers in the first quarter as it lost market share to bigger rival Verizon Wireless, sending its shares down about 2 percent.

As a result AT&T's revenue missed Wall Street expectations as its subscriber growth was driven by tablet computer users who pay lower monthly fees than phone users.

Reliance Jio to rent submarine capacity from Bharti Airtel

Reliance Jio Infocomm has signed an agreement with Bharti Airtel to rent capacity on the i2i submarine network that runs from India to Singapore, without disclosing the financial terms of the deal.

Reliance Jio (Mumbai, India) says the arrangement will allow it to connect directly with the world’s major business hubs and internet service providers, allowing it to provide ultra-fast services to its customers.

Sprint to continue supporting 2G for M2M customers

Banking on the enduring popularity of 2G networks for M2M services, third-placed US mobile operator Sprint says it is extending its partnership with Swiss-based module provider u-blox as it looks to capitalize on rivals’ plans to migrate all traffic to newer 3G and 4G networks over the next few years.

The operator says the u-blox (Thalwil, Switzerland) agreement will allow business customers concerned about the continuing availability of GSM-based 2G networks to extend the product lifetime of their existing 2G M2M devices by migrating to Sprint’s CDMA network.

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