Will Google Buy T-Mobile To Enter Telecom Industry?

A recent report by Gerson Lehrman Consulting group has recommended an acquisition of T-Mobile by Internet giant Google. In their recent report, the analysts claim T-Mobile’s rumored decision to generate additional funds to grow their business could be in complete sync with Google’s own ambitions to move into the network connectivity space.

T-Mobile, part of Deutsche Telekom is the fourth largest carrier in the US with close to 14% market share. However, the company has failed to grow to its potential and has constantly fallen to accusations regarding a poor network infrastructure. It has been recently rumored that the company may either choose to file an IPO to generate funds or could be planning to spin-off the American business into a separate entity.

“With Google Voice and now the Nexus One, like it or not Google is becoming a telecom operator. Perhaps their relationships with carriers will go the way of their relationship with Apple‚Ķfriends first, now direct competitors

I believe Google views the largest U.S. operators as competitors and are obstacles to owning the mobile channel, and if they purchased T-Mobile they would pick-up 33 Million new Google Voice users “

While this is entirely speculated information at this point, it does appear to make great business sense. Will we see Google Telecom soon? Tell us your thoughts in the comments.

[via GL Group, CNET]

3 thoughts on “Will Google Buy T-Mobile To Enter Telecom Industry?”

  1. while i like this idea because of a potentially free or heavily discounted data plan, it would certainly pose a serious issue for the OHA as it relates to the other wireless carriers. i suppose if google did a good enough job of planning, it could court more positive relationships with global carriers which would then make the sting of att and vzw leaving the OHA (potentially) more tolerable. i would imagine vzw, sprint and att would stop carrying android phones as a retaliatory measure so google would need to counter that. i believe they could and should seriously, SERIOUSLY look at buying tmo USA.

  2. I can see lots of advantages for Google in taking over a telecom business. It makes sound business and economic sense,however I am sure there are lots of people that will think Google is trying to take over the world.

  3. Great site, where did you come up with the knowledge in this article? Im glad I found it though, ill be checking back soon to see what other articles you have.

Comments are closed.