Market Insight

US 2018 Capex Forecast Is Looking Up

November 10, 2017  | Subscribers Only

Stéphane Téral Stéphane Téral Executive Director – Research and Analysis, Mobile Infrastructure & Carrier Economics

Want to learn more?
Have an expert contact you.

I’m not yet saying Sprint has turned the corner, but what we know for sure is that after talks to merge with T-Mobile US fell apart over the weekend, the company is moving forward as a standalone entity and said Tuesday, 7 November 2017, that it would increase spending on its network. In fact, according to Sprint Chief Financial Officer Tarek Robbiati, the merger had little to do with this capex hike; rather, it’s coming from the Altice partnership, which would have happened anyway. Announced Sunday, 5 November 2017, US cable operator Altice USA will sell mobile service on Sprint’s network under a new multi-year agreement. Now the high expectation has clearly shifted overnight from a failed merger to the Altice partnership, which is suddenly putting pressure on Sprint to install new antennas as soon as possible. As a result, Sprint plans to raise money to fund its network investment by avoiding expensive traditional debt and using its airwave licenses as collateral. Clients, please log in to read the full content.

Research by Market
Mobile & Telecom
Share facebook Twitter Google Plus Linked In Add This Contact Us