What kind of company is Sprint acquired by Softbank-Junya Suzuki's view

By : ilikephone / On : 22/12/2022

What kind of company is Sprint?

Softbank CEO Masayoshi Son (left) and Sprint CEO Dan Hesse (right). The two have known each other since Hesse left AT&T (during the days of the long-distance phone company) to run a venture company. feature. In Japan, where prepaid contracts were temporarily eliminated as part of anti-crime measures, there are many postpaid contracts at a rate close to 100%, but the United States also has a high postpaid contract ratio. However, it should be noted that only the top four companies have a high postpaid ratio, and the remaining medium-sized and smaller carriers are mostly prepaid carriers, and the ratio is close to 30%. Sprint is the largest MVNO acceptance carrier in the United States, and many of these MVNO operators offer prepaid services. The number of Sprint contracts includes the number of contracts with this MVNO, which means that about 30% of the total number of Sprint contracts are prepaid contracts (the figure is SoftBank's materials at the press conference).

Competition between carriers has begun to change with the advent of the smartphone era

What is Sprint acquired by SoftBank? Is it a company--Junya Suzuki's view

Currently, Sprint is in the third position with 16% of US mobile phone market share. Although it ranks third, Verizon Wireless and AT&T are two major companies, with over 60% of the market share.

Operation costs are high in the United States, which has a large land area

Mobile phone penetration rate in the United States. Although it seems to be growing steadily, in reality, the population penetration rate has already exceeded 100% and is saturated. The current growth is aimed at the demand for the second unit (the figure is the material of SoftBank at the press conference)

Investment burden weight and LTE service