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The Justice Department today announced its approval of the T-Mobile/Sprint merger as part of a settlement that requires the merging companies to spin off several assets to Dish Network.
The DOJ decided against filing a lawsuit to block the T-Mobile US purchase of Sprint, even though it reduces the number of major mobile network providers from four to three. In exchange for its approval, the DOJ convinced the companies to sell Dish spectrum licenses, wholesale network access, and Boost Mobile. Boost is Sprint's prepaid wireless subsidiary, and resells Sprint network access instead of operating its own network.
Dish would use its newfound assets to resell T-Mobile/Sprint service and to build its own network. The building-its-own-network part is far more crucial for Dish to effectively replace the competition eliminated by the merger, but this is expected to take several years.