Mr. Sharma said that a Sprint merger with SoftBank would most likely be better for consumers than one with Dish. The two carriers combined would have more buying power to negotiate with manufacturers like Apple or Samsung to buy large quantities of phones at lower prices.
Because the phones would be cheaper for Sprint, the carrier could charge customers less for access its network to make up for the costs of the phones, he said.
Amid the fight for Sprint is a tug of war for Clearwire, another wireless operator of which Sprint is the majority owner. Sprint has signaled interest in taking over the company entirely with the cash infusion from SoftBank, but Dish in January made an unsolicited bid of $2.2 billion for a portion of the company.
And on the heels of Monday’s news, Verizon offered $1.5 billion to buy spectrum from Clearwire, according to a person briefed on the company’s plans, who was not authorized to speak publicly because the plans were not yet official.
If Dish Networks succeeded in a takeover of Sprint, it would be in a position to acquire Clearwire more quickly than Sprint/SoftBank, because a foreign company that tries to buy more than 25 percent of a telecom company must undergo regulatory review.
Barclays is advising Dish Network on its proposed bid. Deutsche Bank, the Raine Group and Mizuho Securities are advising SoftBank. Citigroup, Rothschild and UBS are advising Sprint Nextel.