Sprint Drops Bid for T-Mobile, Dan Hesse Booted & Softbank Tries to Steal John Legere


Editor in Chief
Staff member
Jan 5, 2011

There has been a huge shakeup in the U.S. Mobile carrier world. First, Sprint has dropped its bid to buy T-Mobile. A Wall Street Journal report indicated that Sprint was so daunted by the backlash amongst U.S. regulators that it didn't seem worthwhile to fight for the merger.

Second, even though most of Sprint's mistakes all occurred before they ever hired him, Sprint has decided to boot CEO Dan Hesse from his position. They are replacing him with Marcelo Claure. He founded Brightstar, which is a Florida-based telecom company acquired by Softbank (the new owners of Sprint) in October of last year.

In fact, the report suggests Claure has been groomed for months to fill this role while he was closely working with Sprint's management. Claure had this to say about his plans for Sprint, “While consolidating makes sense in the long-term, for now, we will focus on growing and repositioning Sprint.”

You can check out Sprint's press release and Claure's full statement here: Sprint.

On top of this, there are insider rumblings that Softbank is trying to create an even more massive power shift in the industry. Supposedly, they are trying to steal T-Mobile's now famous CEO, John Legere.

Insider sources at Sprint indicated that Softbank has made an outrageous offer to acquire him, and they are willing to over-pay to make it happen. The unnamed Sprint investor who shared this intel had this to say,
"They are definitely willing to overpay, This guy is Jack Welch of our time."

What do you think? Will this be a good move for Sprint? Should Softbank be willing to overpay to grab Legere? Will he take their offer?

Source: TKNewsblog