- More customers on one platform. Combined, AT&T/T-mobile have 130 million human subscribers. All these customers need LBS.
- More spectrum for AT&T. AT&T's data mobile traffic grew 8000% over the past four years, and it's still growing. AT&T and T-Mobile built the same location network platforms, so the integration is seamless.
- Better network reliability for both carriers’ customers, very important to LBS developers. Reliability means fewer dropped calls, more reliable access to your customers and their location, and more customers willing to stretch the limits of what their phones can do. All good things.
- Still a single API to locate all those 130 million customers. LOC-AID is the preferred (and only) Location-as-a-Service company selected both by T-Mobile and AT&T. So using LOC-AID’s location API, you get location right away for all AT&T and T-Mobile subscribers, now and after the merger. LBS developers don’t have to do anything, it works for all 130M whether they merge or not.
- Merger is a good harbinger to see if the government will allow market forces to prevail and encourage, not stifle, innovation. If the FCC and the Justice Department kill the merger, it is a bad sign for ALL industries, not just telco.
- AT&T has the most sophisticated, privacy-protected LBS onboarding process with LOC-AID. This process and LBS app certification approach will help T-Mobile jump start their LBS offer.
- AT&T enterprise accounts wanting ubiquitious location services will be able to extend LBS services to their T-Mobile cutomers and employee subscribers.
- It’s not just about the iPhone. Less than 29% of the available US market carriers a smartphone today, according to the latest figures from the CTIA. The combination of T-Mobile’s and AT&T’s device portfolios will make LBS easier for LBS app developers.
- The companies will have to divest some shared assets, maybe sell-off whole divisions to appease the regulators and even help Sprint stay in the game. LOC-AID provides location on all Sprint and Verizon phones currently. The merger may drive Tier 2 and Tier 3 carriers into the LBS market, at last. (Shout out to MetroPCS and Leap.)
- We suspect many of our carrier friends will be reorganized and “redistributed.” Since LBS is growing, and here at LOC-AID we are hiring like crazy, we’re hoping to see some amazing talent enter the LBS industry soon.
The deal is all about wireless. Mobile is hot, and location even hotter. The mobile industry just drove a $39 billion proposal. We suspect more big deals are on the way. In this economic and regulatory climate, mergers are a great way to improve services to customers and increase long-term shareholder value, and nothing could be truer in the location services space.
As the world’s largest Location-as-a-Service company, LOC-AID congratulates our two important customers – AT&T and T-Mobile – and we wish them the best of luck with our friends in Washington. Get the deal done fast, your developer and your customers are eagerly awaiting all the great changes you are planning.