Report: Large Carrier Interested in Buying FreedomPop
A major U.S. carrier is interested in acquiring Sprint MVNO FreedomPop, according to FierceWireless.
Wireless Week reached out to FreedomPop and will update this story with their response.
Talk of a potential deal reportedly popped up after Sprint’s bid for T-Mobile was sidelined but the discussion hasn’t moved past the negotiation stage yet.
Sprint earlier this month seemingly abandoned its long-discussed effort to buy a controlling stake in T-Mobile. The deal saw resistance from U.S. regulators wary of wireless industry consolidation’s effects on competition as well as a counter offer from upstart French carrier Iliad. Shortly after turning away from acquiring T-Mobile, Sprint ushered in new CEO Marcelo Claure.
Claure has so far made good on him promises of “very disruptive” pricing changes at Sprint. Sprint last week introduced new family share plans that double the amount of data available with similar offers from its competitors. The carrier also rolled out a new single line plan offering unlimited talk, text and data for $60.
The aggressive pricing moves from Sprint come as the carrier said it would refocus its efforts on competing in the marketplace and put consolidation plans off to the side.
But FreedomPop could be a good acquisition target for Sprint even with the carrier’s new direction. FreedomPop is nearing the one million subscriber mark and beginning to push its products and services into retail spaces. By the end of the year the MVNO plans to be selling in Staples stores nationwide.