Dish Network Corp, the No. 2 U.S. satellite television provider, offered to buy Sprint Nextel Corp for $25.5 billion in cash and stock, a move that could thwart the proposed acquisition of Sprint by Japan's SoftBank Corp.
Dish's bid is the latest development in a shakeup of the U.S. wireless business, which is undergoing a wave of consolidation. Dish (Meridian, CO, USA) was already in the midst of an unsolicited offer for Clearwire Corp (Bellevue, WA, USA), the wireless company majority-owned by Sprint (Overland Park, KS, USA).
Verizon Wireless plans to change its policy on handset upgrades so that customers are forced to wait longer before they can get their hands on new devices.
Under the current system, customers can upgrade their phones every 20 months, but when the change comes in they will have to wait two years before they can rid themselves of older smartphones.
“This change aligns the upgrade date with the contact end date and is consistent with how the majority of customers purchase new phones today,” said the operator in a statement on its website.
KT Corp has reportedly decided not to bid for the controlling stake in Morocco’s Maroc Telecom currently held by French media conglomerate Vivendi.
The operator had been in talks about an acquisition that would have represented the largest-ever overseas deal by a South Korean company.
According to Dow Jones Newswires, however, it has dropped its bid but will continue to pursue other options for investing in the North African operator.
Clearwire Corp is "actively considering" defaulting on a $255 million interest payment due June 1 on about $4.5 billion of outstanding debt, according to a proxy filing on Friday, as a shareholder vote approaches on Sprint-Nextel Corp's takeover offer.
The company, which urged investors to vote in favor of Sprint's buyout offer, warned that failure to close a deal may force it to contemplate a financial restructuring, which in turn could entail filing for bankruptcy.
Sweetening the terms of a U.S. merger not only improves Deutsche Telekom's chances of getting a deal done, but may also pave the way for what some investors and bankers think it really wants - to reduce its exposure to a highly competitive market.
The German group's T-Mobile USA (Bellevue, WA, USA) unit lacks the critical mass to take on bigger U.S. rivals Verizon (New York City, NY, USA), AT&T (Dallas, TX, USA) and Sprint (Overland Park, KS, USA) and has been losing market share.
Earlier this week sources with knowledge of the situation had said Hong Kong-based Hutchison was interested in taking a near 30 percent stake in Italy's biggest telecoms operator under a plan to sell 3 Italia to its rival.
Indian operator Sistema Shyam has managed to reduce its net loss to INR7.79 billion ($143 million) for the fourth quarter of 2012, from INR11.98 billion during the same period in 2011, despite the considerable uncertainty over the company’s future towards the end of last year.
The operator said the net loss would have narrowed further were it not for unfavorable movements in exchange rates.
EBay Inc's payments business, PayPal, already lends money to online shoppers, but it is now starting to finance the merchants who sell on the company's online marketplaces.
PayPal (San Jose, CA, USA) has already tested a financing program for eBay sellers in the UK and it plans similar tests in the United States this year, a company spokesman said on Tuesday.
Telecom equipment maker Ericsson said on Monday it had struck a deal to buy Microsoft Corp's Mediaroom IPTV business, which makes software used by phone companies to deliver television over the Internet.
Ericsson (Stockholm, Sweden) said in a statement the deal would make the company, the world's biggest mobile networks maker, the leading provider of IPTV.
Chinese equipment maker Huawei expects its revenues to grow at a compound annual rate of 10% over the next five years, despite the current slowdown in the equipment market and its difficulties in the US.
Huawei (Shenzhen, China) provided the forecast after reporting that net profit for 2012 was 32% higher than for 2011, at RMB15.4 billion ($2.48 billion), with revenues up 9%, to RMB220.2 billion.
“In 2012, Huawei met business performance expectations through improved operational efficiency,” said Guo Ping, Huawei’s rotating and acting chief executive.