T-Mobile US Inc. and DISH Network Corp. disclosed Tuesday that the companies have entered into a “binding Term Sheet” reflecting certain discussions with the U.S. Department of Justice’s Antitrust Division. DISH depends on T-Mobile to provide network services to its retail wireless subscribers. DISH has been working to expand its wireless operations since it acquired prepaid brands from T-Mobile and Sprint in conjunction with the companies’ 2020 merger. Included in the Term Sheet agreement, T-Mobile and DISH agreed to enter into a roaming agreement with an initial term ending in July 2027; T-Mobile agreed to help DISH in migrating DISH’s CDMA (code-division multiple access) customers to handsets; and DISH will pay T-Mobile “not less” than a total of $3.3 billion through Jan. 21, 2027 as part of the roaming agreement, with a significant amount payable in the first 18 months. T-Mobile’s stock rose 1.4% in morning trading and DISH shares gained 1.6%, while the S&P 500 tacked on 1.8%.
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