tech

Softbank in talks to buy U.S. telecom giant Sprint Nextel

37 Comments

The requested article has expired, and is no longer available. Any related articles, and user comments are shown below.

© 2012 AFP

©2019 GPlusMedia Inc.

37 Comments
Login to comment

Wow. That would be pretty amazing. I hope it wouldn't bring an end to the NASCAR-Sprint friendship.

0 ( +1 / -1 )

Analysts at Standard & Poor’s said that they “do not believe a potential acquisition would offer meaningful synergies since the two companies operate in different geographic markets.” And... The mobile carriers bully Japanese consumers with high fees and my guess this is a flop and disaster in the making. Be happy with what you got and millions of Japanese suckers glued to their phones... worry about the whole other two carriers.

1 ( +4 / -3 )

Being a frustrated,loyal Softbank shareholder for the last ten years and still significantly in the red from being one,has me believing that despite being a fan of Son's entrepreneurial skills,he's also like the NY and LAPD's.That is shoot first and aim later.

3 ( +4 / -1 )

I'm totally, 100% against it.... until Japan allows a U.S. Company to buy or takeover a large Japanese company I Say NO just out of principle. Japan will not open its doors for foreign compitition..... had they forseen how much smartphones changed the market I totally believe they would have put up barriers against them.

7 ( +9 / -2 )

How about Softbank spend some time and money fixing their own terrible, slow network, before spending more on destroying another one?

3 ( +5 / -2 )

Inflated dreams with deflated skills.

3 ( +4 / -1 )

@Bluebris! You are right on the money! Softbank has terrible service, terrible connections, worse than Docomo and AU, but they want to spend all this money on taking over Sprint?? How about spending more money here in Japan to get us better connections?? Better staff at their Softbank offices?? I am ready to leave Softbank for AU!

0 ( +1 / -1 )

I'm also curious if this will change NASCAR sponsorship.

-1 ( +0 / -1 )

Prepare to be renamed to Softbank.

-2 ( +0 / -2 )

Japanese firms have been looking for overseas deals on the back of a surging yen, which hit record highs on the dollar late last year and remains strong.

Combined with the fact that Japan is an aging/shrinking market, and growth for Japanese companies can really only come from overseas. And, Hiniku, I TOTALLY agree with your post. Softbank can buy a major U.S. company, but can you imagine the xeophobic backlash that would have occurred if a U.S. company had tried to help out Olympus? Japan's double standard is obvious for all to see, and will only hurt the country/economy in the long run since it will shut out foreign capital at a time when it is much needed.

1 ( +3 / -2 )

Hope Softbank knows what they are getting in to. Sprint probably has the worst customer service.

0 ( +2 / -2 )

Hmmm... May not be such a good idea... Their stock just tanked by 17%!

-1 ( +0 / -1 )

Combined with the fact that Japan is an aging/shrinking market, and growth for Japanese companies can really only come from overseas

Hello??!! That's what they been doing for god knows how long now. Do you know how many Japanese corporations that operate overseas?

d, Hiniku, I TOTALLY agree with your post. Softbank can buy a major U.S. company, but can you imagine the xeophobic backlash that would have occurred if a U.S. company had tried to help out Olympus? J

Backlash from whom??

-1 ( +3 / -4 )

And, Hiniku, I TOTALLY agree with your post. Softbank can buy a major U.S. company, but can you imagine the xeophobic backlash that would have occurred if a U.S. company had tried to help out Olympus?

Probably not backlash, but they do try to stop takeovers in general and especially if it is foreign by using poison pills and the like.

0 ( +1 / -1 )

Has anyone told Softbank that Sprint sucks?

3 ( +4 / -1 )

And with this news, NTT DoCoMo will move to buy shares of T-Mobile.... I only hope. As long as these companies can provide the US carriers with better phones, like those sold in the Japan-only market, i would be happy.

I currently am on T-Mobile, while others are with Sprint.

-1 ( +2 / -3 )

I can't possibly see this working out well for Softbank. I'm assuming the executives at Softbank have done their homework on the American cell phone market and realize they will not be able to turn the kind of profits they currently enjoy here in Japan. Cell phone users in the States will laugh in their face if they try to establish a charge for calling outside of their cellular carrier. And charging for long distance calls, forget about it. Oh, and charging for data usage, welcome to a market that offers unlimited usage. As long as they don't try to enforce Japanese cellular business practices into the US cellular market they will probably still do ok, but as I mentioned earlier they won't see the kind of profit earned in the Japanese market...

-1 ( +2 / -3 )

Forbes ranked Softbank in their top 200 biggest public companies so it's no surprise that this Japanese company is on a shopping spree. Customer wise, Softbank's service is crappy and I hate their advertisements too, especially the Ojisan pop group SMAP.

2 ( +3 / -1 )

until Japan allows a U.S. Company to buy or takeover a large Japanese company

Hiniku, does the "foreign company" have to be from the US? What about, say, France. Like when Renault bought Nissan?

-3 ( +1 / -4 )

Oh, and charging for data usage, welcome to a market that offers unlimited usage.

Umm, the US charges for data usage and Softbank currently have unlimited usage.

2 ( +2 / -0 )

Rumor has it that following the merger, the newco will be called Splint.

1 ( +2 / -1 )

I am going to start out by saying that most of you are completely oblivious to the Mobile Telecom Market towards its inner-workings. If Softbank Telecom K.K. Japan can successfully take over SprintNextel and along with them absorb T-Mobile U.S.A. and MetroPCS. They will not only be the most powerful Mobile Telecom Corporation on the planet they will own the market. In Japan, they will be able to squeeze the hell out of KDDI au, and NTT Docomo, in terms of price. Now, when we look at this on a larger scale, when "Gozilla Telecom" my nickname for Softbank when it lands on the US Market. It is going to tear down AT&T and Verizon like a little boy gaining the courage to bust the school bully's ass for taking everybody's lunch money. Looking at it on a much larger scale, We all know T-Mobile is not native to the USA. It operates out of the UK. Can you imagine if they make their phones have universal access no matter where you go, and not have to be overcharged for it? My God, Softbank is finally doing for us what other Mobile Telecom conglomerates would not do. Making it a user and consumer friendly market. Now, by my experience, if you speak Japanese like I do, and know how to understand the dial in menu to reach an English speaking clerk. Softbank, has the greatest service in Japan. Also, with the launch of the platinum band. Softbank's services kill Docomo and AU hands down. Now, they are looking to buy eAccess to unleash LTE on the Japanese market. Softbank is arming themselves for a war that will have no true adversaries. All the stockholders, as I am one as well. I am looking forward to a diluted stock split, because it means for a cheaper price I can increase my stake in the company, and when they hit the black they are going to hit it big and stockholders will start seeing dividends out their 'hoohah' if Softbank pulls this one off. I can't wait. Cheap stocks that are guaranteed to blow up again? Man, good days are coming. The yen is staying strong so if Softbank is going to go for this one, the Mobile Telecom market will kill and die for it.

-1 ( +3 / -4 )

This reminds me of NTT DoCoMo's almost $10.0 billion investment in AT&T Wireless back in 2001, although that stake brought them less than 20% of the company. In 2004, they pulled out of the investment by selling the stake to Cingular, netting them an investment gain but bringing them no closer to any real business in the U.S.

-1 ( +0 / -1 )

TizalleymanOct. 12, 2012 - 10:31AM JST

I can't possibly see this working out well for Softbank. I'm assuming the executives at Softbank have done their homework on the American cell phone market and realize they will not be able to turn the kind of profits they currently enjoy here in Japan. Cell phone users in the States will laugh in their face if they try to establish a charge for calling outside of their cellular carrier. And charging for long distance calls, forget about it. Oh, and charging for data usage, welcome to a market that offers unlimited usage. As long as they don't try to enforce Japanese cellular business practices into the US cellular market they will probably still do ok, but as I mentioned earlier they won't see the kind of profit earned in the Japanese market...

Whatever, you are smoking get me some; because it is clear you are speaking out of your ass. You know nothing about the Japanese mobile telecom market do you? Live here and use the service first before you spout hot air please. Please like this sicken me. Never used the service but ready to complain. I have been with Softbank since they were J-Phone. Son has been kicking ass for us here in Japan and this new battle he is taking us into will being the industry leader. Also, Japanese businesses have the best customer services principles and procedures on the face of the planet. Not like US Mobile Carriers Customer Service which are notorious for having rude clerks.

0 ( +3 / -3 )

@Anthony

I largely agree with you, man. Sofbank seems to me to be the true innovators when it comes to mobile networks. They were the ones who brought the iPhone to Japan, they are still the only ones offering the iPad and that must have done them some good. I have been with Softbank since back when they were Vodafone and have had zero problems with them.

Can you complainers please explain what's so sucky about everything Softbank?

-1 ( +2 / -3 )

Geez! The last time I checked, AU was also offering Iphones and IPADS, is this info wrong??

0 ( +1 / -1 )

there would be no backlash if a foreign company bought a Japanese company. Foxconn is about to buy up Sharp and no one seems to care.

-1 ( +0 / -1 )

@Anthony.... so you're saying the Masayoshi Son has turned a company that just 12 years ago was a Venture Capital firm.... into... let me see how did you put it... "They will not only be the most powerful Mobile Telecom Corporation on the planet they will own the market" An interesting statement considering that Softbank does not currently even rank in the top 30 largest mobile operator networks in the world. In addition... Masayoshi Son has be trying desparately to buy back their Yahoo Japan stock from Yahoo USA but do not have enough money to do so. Softbank just does not have the cash period. Son has done an amazing job but he has too many things going on at once... and I doubt very much that he has enough money or can come up with an investment partner to pull a Verizon acquistion off.

0 ( +0 / -0 )

Meant to say Sprint Nextel.... I think my Verizon bill was bothering me!

0 ( +0 / -0 )

Nigelboy -- thank you, you reinforced my point better than I could have. The fact that Japanese companies are scrambling so fast to do business oveseas is testimony to how poorly they expect Japan's domestic economy to continue to perform. They are simply trying to survive, since the home market won't provide sufficient opportunity. And, with regards your silly question of "backlash from whom"?, try the management of Olypus for starters. Their knee-jerk reaction, caused by years of Japan Inc. dogma, would have been to rally their shareholders, mostly Japanese banks, to oppose any foreign investment. Where have you been for the last decade?

1 ( +2 / -1 )

Nigelboy -- thank you, you reinforced my point better than I could have. The fact that Japanese companies are scrambling so fast to do business oveseas is testimony to how poorly they expect Japan's domestic economy to continue to perform. They are simply trying to survive, since the home market won't provide sufficient opportunity. And, with regards your silly question of "backlash from whom"?, try the management of Olypus for starters. Their knee-jerk reaction, caused by years of Japan Inc. dogma, would have been to rally their shareholders, mostly Japanese banks, to oppose any foreign investment. Where have you been for the last decade?

It's not that the domestic economy is poor that these companies "initially" went overseas herefornow. The motivation to operate overseas stems from fierce competition within the domestic market along with the excess capital that they gained through the years that propelled them to expand their operations overseas. In this recent trend, I agree that the domestic market is slumping due to deflationary spiral but of course, with the strong yen, it's only natural that businesses start to take advantage of this opportunity.

As for your example of "backlash", you offered none. You are merely speculating on your distorted view considering that fact that as recently, Elpida Memory was bought by Micron Technology and most notably, Nissan, a flagship automaker of prominent Zaibatsu, Fuyo group (former Fuji Bank, now Mizuho) is under Renault.

1 ( +1 / -0 )

yes, bring better coverage to Japan!

-3 ( +0 / -3 )

Intesting that Chinese telecom Hauwei has been barred from entering US telecom market for security reasons, but nobody raises the same concerns when a Japanese company wants to buy into it. It looks like the concept of China risk is making inroads into the US mind, as it should.

0 ( +0 / -0 )

Huawei is barred because of its close government and military connections within China. Considering also that most hacking of U.S. computers come from Chinese sources and you get a bad taste for China. However, as I posted earlier, in principle I totally dissagree with this because of Japan's barriers to foreign takeovers.

0 ( +0 / -0 )

@Anthony

Whatever, you are smoking get me some; because it is clear you are speaking out of your ass. You know nothing about the Japanese mobile telecom market do you? Live here and use the service first before you spout hot air please.

I've been a Softbank subscriber of the "White Plan Plus" for nearly three years now. I don't know how long it has been since you've had a cell phone in the States, but I can assure you that you will not find a US cellular phone service that charges to call outside of your cellular carrier. You will not find a US cellular company charging double rates from the hours of 9:00pm until 1:00am, even if you are calling another person using your cellular service. You seem personally offended that I am not bowing down to Softbank and saying it's the greatest thing since sliced bread. I never said anything about Softbank's customer service or any other aspects of their service. I simply stated that their charging practices will not hold up in the US cellular market, so whatever you are smoking, stop because it is apparently affecting your ability to comprehend other people's posts...

0 ( +0 / -0 )

@Anthony

Now, when we look at this on a larger scale, when "Gozilla Telecom" my nickname for Softbank when it lands on the US Market. It is going to tear down AT&T and Verizon like a little boy gaining the courage to bust the school bully's ass for taking everybody's lunch money.

And that may very well be their undoing and it may end up voiding this deal all together. As I'm sure you know the US has many fair business practice and monopoly laws. I don't know if you recall what happened to Bell Telephones back in the 80's, but it seems that old saying about being doomed to repeat history just may come around again...

0 ( +0 / -0 )

DON'T DO IT AMERICA!

0 ( +0 / -0 )

Login to leave a comment

Facebook users

Use your Facebook account to login or register with JapanToday. By doing so, you will also receive an email inviting you to receive our news alerts.

Facebook Connect

Login with your JapanToday account

User registration

Articles, Offers & Useful Resources

A mix of what's trending on our other sites