Positives for At&t
Essay by Adarsh Khandate • November 19, 2016 • Research Paper • 3,417 Words (14 Pages) • 878 Views
Positives for AT&T:
- Wireless acquisition can advance both- streamline domestic operations and grow company’s international presence from 25% to 40% of revenues.
- Expansion in Europe where AT&T is restricted by regulations
- McCaw’s licenses advantage in 5 out of 10 most populated metropolitan areas. 80% of those licenses were located in 30 most populated areas.
- Cellular would enable AT&T to offer both local cellular and long-distance services, bypassing RBOCs wires and lining up users for the AT&T network.
- Expect moderate reduction in capex per net new subscriber.
Positives for McCaw:
- Enhance customer marketing and global presence, which can help McCaw enter emerging foreign markets
Positives for AT&T:
- Wireless acquisition can advance both- streamline domestic operations and grow company’s international presence from 25% to 40% of revenues.
- Expansion in Europe where AT&T is restricted by regulations
- McCaw’s licenses advantage in 5 out of 10 most populated metropolitan areas. 80% of those licenses were located in 30 most populated areas.
- Cellular would enable AT&T to offer both local cellular and long-distance services, bypassing RBOCs wires and lining up users for the AT&T network.
- Expect moderate reduction in capex per net new subscriber.
Positives for McCaw:
- Enhance customer marketing and global presence, which can help McCaw enter emerging foreign markets
Negatives:
Concerns:
- AT&T’s declining market share
- McCaw’s business philosophy of importance of aggressive growing and actively controlling the businesses in which one has a stake
- Agreement with LIN broadcasting
- Legislative response by RBOCs.
- Financial success for cellular is not assured.
- Health hazard
- Regulatory Uncertainity
Synergies:
- Cost savings
- Increased Advertising power
- Potential reduction in financing cost through SG&A consolidation
- Use of well recognized AT&T name
- Ability to refinance compant debt at AT&T’s more favourable AA credit rating
- Local access fee reductionsnand instant access to state-of-the-art technology without directly confronting RBOCs or having to infuse capital to build an independent AT&T cellular network
Positives for AT&T:
- Wireless acquisition can advance both- streamline domestic operations and grow company’s international presence from 25% to 40% of revenues.
- Expansion in Europe where AT&T is restricted by regulations
- McCaw’s licenses advantage in 5 out of 10 most populated metropolitan areas. 80% of those licenses were located in 30 most populated areas.
- Cellular would enable AT&T to offer both local cellular and long-distance services, bypassing RBOCs wires and lining up users for the AT&T network.
- Expect moderate reduction in capex per net new subscriber.
Positives for McCaw:
- Enhance customer marketing and global presence, which can help McCaw enter emerging foreign markets
Negatives:
Concerns:
- AT&T’s declining market share
- McCaw’s business philosophy of importance of aggressive growing and actively controlling the businesses in which one has a stake
- Agreement with LIN broadcasting
- Legislative response by RBOCs.
- Financial success for cellular is not assured.
- Health hazard
- Regulatory Uncertainity
Synergies:
- Cost savings
- Increased Advertising power
- Potential reduction in financing cost through SG&A consolidation
- Use of well recognized AT&T name
- Ability to refinance compant debt at AT&T’s more favourable AA credit rating
- Local access fee reductionsnand instant access to state-of-the-art technology without directly confronting RBOCs or having to infuse capital to build an independent AT&T cellular network
Positives for AT&T:
- Wireless acquisition can advance both- streamline domestic operations and grow company’s international presence from 25% to 40% of revenues.
- Expansion in Europe where AT&T is restricted by regulations
- McCaw’s licenses advantage in 5 out of 10 most populated metropolitan areas. 80% of those licenses were located in 30 most populated areas.
- Cellular would enable AT&T to offer both local cellular and long-distance services, bypassing RBOCs wires and lining up users for the AT&T network.
- Expect moderate reduction in capex per net new subscriber.
Positives for McCaw:
- Enhance customer marketing and global presence, which can help McCaw enter emerging foreign markets
Negatives:
Concerns:
- AT&T’s declining market share
- McCaw’s business philosophy of importance of aggressive growing and actively controlling the businesses in which one has a stake
- Agreement with LIN broadcasting
- Legislative response by RBOCs.
- Financial success for cellular is not assured.
- Health hazard
- Regulatory Uncertainity
Synergies:
- Cost savings
- Increased Advertising power
- Potential reduction in financing cost through SG&A consolidation
- Use of well recognized AT&T name
- Ability to refinance compant debt at AT&T’s more favourable AA credit rating
- Local access fee reductionsnand instant access to state-of-the-art technology without directly confronting RBOCs or having to infuse capital to build an independent AT&T cellular network
Positives for AT&T:
- Wireless acquisition can advance both- streamline domestic operations and grow company’s international presence from 25% to 40% of revenues.
- Expansion in Europe where AT&T is restricted by regulations
- McCaw’s licenses advantage in 5 out of 10 most populated metropolitan areas. 80% of those licenses were located in 30 most populated areas.
- Cellular would enable AT&T to offer both local cellular and long-distance services, bypassing RBOCs wires and lining up users for the AT&T network.
- Expect moderate reduction in capex per net new subscriber.
Positives for McCaw:
- Enhance customer marketing and global presence, which can help McCaw enter emerging foreign markets
Negatives:
Concerns:
- AT&T’s declining market share
- McCaw’s business philosophy of importance of aggressive growing and actively controlling the businesses in which one has a stake
- Agreement with LIN broadcasting
- Legislative response by RBOCs.
- Financial success for cellular is not assured.
- Health hazard
- Regulatory Uncertainity
Synergies:
- Cost savings
- Increased Advertising power
- Potential reduction in financing cost through SG&A consolidation
- Use of well recognized AT&T name
- Ability to refinance compant debt at AT&T’s more favourable AA credit rating
- Local access fee reductionsnand instant access to state-of-the-art technology without directly confronting RBOCs or having to infuse capital to build an independent AT&T cellular network
Positives for AT&T:
- Wireless acquisition can advance both- streamline domestic operations and grow company’s international presence from 25% to 40% of revenues.
- Expansion in Europe where AT&T is restricted by regulations
- McCaw’s licenses advantage in 5 out of 10 most populated metropolitan areas. 80% of those licenses were located in 30 most populated areas.
- Cellular would enable AT&T to offer both local cellular and long-distance services, bypassing RBOCs wires and lining up users for the AT&T network.
- Expect moderate reduction in capex per net new subscriber.
Positives for McCaw:
- Enhance customer marketing and global presence, which can help McCaw enter emerging foreign markets
Negatives:
Concerns:
- AT&T’s declining market share
- McCaw’s business philosophy of importance of aggressive growing and actively controlling the businesses in which one has a stake
- Agreement with LIN broadcasting
- Legislative response by RBOCs.
- Financial success for cellular is not assured.
- Health hazard
- Regulatory Uncertainity
Synergies:
- Cost savings
- Increased Advertising power
- Potential reduction in financing cost through SG&A consolidation
- Use of well recognized AT&T name
- Ability to refinance compant debt at AT&T’s more favourable AA credit rating
- Local access fee reductionsnand instant access to state-of-the-art technology without directly confronting RBOCs or having to infuse capital to build an independent AT&T cellular network
Positives for AT&T:
- Wireless acquisition can advance both- streamline domestic operations and grow company’s international presence from 25% to 40% of revenues.
- Expansion in Europe where AT&T is restricted by regulations
- McCaw’s licenses advantage in 5 out of 10 most populated metropolitan areas. 80% of those licenses were located in 30 most populated areas.
- Cellular would enable AT&T to offer both local cellular and long-distance services, bypassing RBOCs wires and lining up users for the AT&T network.
- Expect moderate reduction in capex per net new subscriber.
Positives for McCaw:
- Enhance customer marketing and global presence, which can help McCaw enter emerging foreign markets
Negatives:
Concerns:
- AT&T’s declining market share
- McCaw’s business philosophy of importance of aggressive growing and actively controlling the businesses in which one has a stake
- Agreement with LIN broadcasting
- Legislative response by RBOCs.
- Financial success for cellular is not assured.
- Health hazard
- Regulatory Uncertainity
Synergies:
- Cost savings
- Increased Advertising power
- Potential reduction in financing cost through SG&A consolidation
- Use of well recognized AT&T name
- Ability to refinance compant debt at AT&T’s more favourable AA credit rating
- Local access fee reductionsnand instant access to state-of-the-art technology without directly confronting RBOCs or having to infuse capital to build an independent AT&T cellular network
Positives for AT&T:
- Wireless acquisition can advance both- streamline domestic operations and grow company’s international presence from 25% to 40% of revenues.
- Expansion in Europe where AT&T is restricted by regulations
- McCaw’s licenses advantage in 5 out of 10 most populated metropolitan areas. 80% of those licenses were located in 30 most populated areas.
- Cellular would enable AT&T to offer both local cellular and long-distance services, bypassing RBOCs wires and lining up users for the AT&T network.
- Expect moderate reduction in capex per net new subscriber.
Positives for McCaw:
- Enhance customer marketing and global presence, which can help McCaw enter emerging foreign markets
Negatives:
Concerns:
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