Sprint, T-Mobile merger would transform industry

Sprint and T-Mobile announced Sunday that they had reached a deal to merge, moving to create a new telecommunications giant — and betting that regulators will finally allow the U.S. wireless service market to shrink to just three national players.

The new company, which would keep the T-Mobile name, would have nearly 100 million retail subscribers. That would give the combined businesses serious heft in a fight against Verizon and AT&T, the two industry leaders that currently control a majority of the U.S. wireless market.

Sprint and T-Mobile have tried repeatedly to merge, arguing that combining is the only way they can compete.