Summary
Given the challenging situation that Sprint is facing and continued loss of subscribers and technology mismatch between Nextel iDEN and Sprint CDMA, it is very unlikely that T-Mobile will make a move to acquire Sprint. Regulatory environment does not provide an environment for a foreign owned carrier to acquire Sprint.
Analysis
Sprint is still suffering tremendously with integration of iDEN/Nextel network and its Sprint CDMA network. The technologies are so vastly different that it is pretty much managed as two separate networks, with a very high operational cost. T-Mobile runs a GSM network and is in process of turning up its 3G/UMTS radio access. Acquiring Sprint will add significant network complexities and will not provide any operational efficiencies for T-Mobile. Sprint could not do it and it is unlikely that T-Mobile can do much better.
T-Mobile is indeed facing tough challenges from AT&T and Verizon and needs to change the game, but acquiring Sprint is not the answer and could be a boat anchor that could sink T-Mobile. The likely scenario may be Comcast acquiring Sprint since the cable MSOs continue to lose subscribers to Verizon and AT&T for voice services and Comcast needs to combat that to remain competitive.
Also, the regulatory environment with the Democratic Party at the helm, it is very difficult to see them approving the deal. However, today, they agreed to merge Chrysler with Fiat of Italy!
