CNET: Sprint and Nextel Could Split

CNET News has the details on some juicy Sprint-Nextel rumors. Seeking Alpha is reporting that Sprint has hired Morgan Stanley for a possible spin-off of its Nextel brand, the report said. That wouldn’t be huge news in and of itself, since the tech industry widely considers the 2005 merger to have been a huge mistake.


More surprising is that The Kansas City Star said that Merrill Lynch analysts are predicting that Deutsche Telekom, owner of T-Mobile USA, is considering buying Sprint, according to the report. It would be very strange if a GSM carrier bought a CDMA carrier—the last thing Sprint needs is to be involved in another situation with two incompatible cellular networks.