MetroPCS Communications Inc (PCS), Sprint Nextel Corporation (S): These 2 Mobile Networks Will Almost Definitely Merge. Now What?

MetroPCS Communications Inc (NYSE:PCS) adds 9 million subscribers to T-Mobile’s list, creating a 42 million-strong customer pool. That’s in the same ballpark as Sprint Nextel Corporation (NYSE:S)’s 56 million subscribers, but it’s still far behind Verizon’s 98 million and AT&T’s 105 million.

The smaller network also expands Magenta’s network coverage in major metro areas. In particular, this deal should accelerate T-Mobile’s introduction of 4G LTE services. Oh, and T-Mobile is jumping the gun by acting as if it could change the mobile game all by itself: The company is expected to introduce all new service plans next week, doing away with handset subsidies entirely and basing your service payments on data plans only — everyone gets unlimited calling and texting.

Big changes ahead

There’s a fork in the road ahead, and it will make consumers very happy. Mark Turnauckas via photopin cc

With Sprint Nextel Corporation (NYSE:S) and T-Mobile closing in on the largest networks in terms of subscriber counts, and both companies rejuvenated by their respective mergers and foreign investments, I believe the American mobile industry will gain some huge new wrinkles in a year or two. Expect lower prices and innovative new features thanks to exponentially increased competition. It happened in Japan and in Europe, and now we’re about to join the next generation here in America.

The article These 2 Mobile Networks Will Almost Definitely Merge. Now What? originally appeared on Fool.com and is written by Anders Bylund.

Fool contributor Anders Bylund holds no position in any company mentioned. Check out Anders’ bio and holdings, or follow him on Twitter and Google+.

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