Sprint and T-Mobile are getting married... well, maybe... (The 3:59, Ep. 394)
Sprint and T-Mobile are getting married... well, maybe... (The 3:59, Ep. 394)
2018-04-30
welcome to the 359 I'm Ben Fox ribbon
I'm Joanie salesman Sprint and t-mobile
are finally getting hitched after years
of will they or won't they merger talks
the third and fourth biggest u.s. telcos
agreed to a twenty six billion dollar
deal over the weekend
t-mobile's German parent Joy telecom
will gain control of Sprint and the new
company will be named t-mobile so the
deal is supposed to close early next
year the question is will this actually
pass muster with the government
well it didn't before but it's anyone's
guess now I don't know the Trump
administration has been friendlier in
theory to mergers and acquisitions
except for the ones they don't like like
Time Warner and 18c and there's always
questions about whether that's because
oh no this has a lot to do with the fact
that US consumers would go from having
four major options to just three major
options in you know mobile and
telecommunication so that's a big reason
why regulators may hesitate over this
type of situation but it's still a long
way to go there's still at least like
probably another year so for now
customers probably shouldn't really
expect much change right yeah nothing's
gonna change until regulatory approval
and all the clothes I mean assuming they
get regulatory approval they can
actually figure out what they're gonna
do yeah company so just ahead of
Facebook's f8 Developer Conference which
kicks off tomorrow
Joan you wrote about the company's VR
business oculus and how they're working
with an immersive theater they're kind
of inventing a new way to watch VR
they're developing this experience the
woman who is spearheading us you
described it as sleep no more the
immersive play meets journey that indie
video game where in your living room or
wherever you have your headsets headset
set up you at a point in time you slip
it you put on your headset and you enter
into
this virtual world where remotely a cast
of motion captured actors are playing
characters in this story like in a
live-action type of thing yeah yeah and
so they can see you and they can react
to you they're not in the same room as
you so they can't touch you and you
can't touch them but they can react to
you in a way that a pre-programmed
avatar or an AI powered avatar just
can't match did you get a chance to try
this like even see yeah it's not coming
out until next year tentatively that's a
tentative idea of when it could possibly
come out they're still in the very early
stages of it but I have done some
experiences with live actors before and
there are a lot of fun this is an idea
that if it works it's a way for VR to
scale an experience like that mmm do you
think that there's money in it oculus or
I mean if you think of the fact that
immersive theater without any kind of
virtual reality element to it is booming
it's very popular and hasn't been
growing and people pay $100 a pop to go
see Sleep No More
I can imagine I mean you have to imagine
that if people are gonna get an
experience like this and they're already
people that are willing to pay hundreds
of dollars for a computer and an oculus
rift or whatever headset that they
enable they would be interested in
paying a high price for a bespoke unique
experience like that yeah so also just
as a reminder come back to CNN on
Tuesday for our coverage of the f8
conference see do you have any
expectations for the show what you
expect to see maybe Mark Zuckerberg goes
back up onstage and apologizes yet again
about Cambridge analytic oh I don't know
oh it's definitely the highest stakes of
an F 8 since f 8 started right I mean
it's the time of greatest uncertainty
for Facebook so what they focus on will
be telling in terms of how they want to
turn around the company yeah if you want
to read more about these stories check
us out on CNN I'm Ben Fox Ruben I'm
Joanie Sussman thanks for listening
and thanks everybody for joining us for
the recording of the audio podcast it's
time for me to do my part of the
paycheck and look through the chat for
questions and comments first and
foremost this VR thing is intriguing so
the do we think we're gonna see things
like people being able to act out their
favorite movie scenes with the actual
characters like that I mean what kind of
what reenactments can we expect out of
this well I don't know the subject
matter of the experience but that's the
thing about VR that I think is really
exciting is that anything is possible
really that suggestion all it really
matters is if you want to have a Star
Wars experience people that license and
we know that people we know that the
people that own the property the Star
Wars franchise are willing you that they
have a partnership with magic leap so
that you could feasibly assuming
magically but is actually real and has a
product that is released if you have a
magically pet set which is augmented
reality overlays stuff mixed reality
overlays stuff over the world won't
you'd be able to you know our work
cafeteria if you're wearing magically
pets that you could transform it into
the cantina and Star Wars or around your
desk you could have instead of having
you know a Syria or an LexA you could
have a c-3po who just sits there and
when you ask it a question it'll tell
you an answer yeah the promise of a lot
of these things sound super cool but you
see a lot of them a lot more than I
would argue most tech reporters do how
close do you think that we actually are
to some of that promise or we still kind
of in the fumbling through trying to
figure out what this is supposed to look
like phase right I'm in terms of I mean
magically but if you're talking about
immersive having like an immersive
experiment experience with a live actor
that stuff's already happening and it's
lots of fun when you can do it over the
week or the last couple weeks Scott
Stein and I we're at Tribeca and there
are a few experiences one in particular
where you are in a virtual experience
with a live actor in a motion capture
suits in that same room with you that's
a lot more interactive than somebody
who's remote in a motion capture suit so
it would be different but
it's really fun and really excited that
work oh can you like touch each other
yeah you know they react you like so but
you're wearing to our heads that so
you're kind of blindfolded no I but they
are a character so the actor that I
interacted with was a frog woman who was
sweeping the floor and she was scolding
me when I like reached out and touched
her she was like Jack leave me alone
you're supposed to be helping me clean
which is I mean that's silly that is
silly but that's the fun of it I feel
that extremely high right now just
thinking about that's all very silly but
it's super fun you get to you get to
feel like a little bit like a little kid
where the things the fantasies that you
have in your head that you're imagining
feel so real it act when it actually
like when you reach out and like bad at
something and it's actually there but
it's completely fantastical it's fun let
me see if I get this right so you're
wearing a VR headset and the live-action
actors around you
are like these weird avatars like a
talking frog they're not wearing VR
heads so now but they're wearing like
you know a suit that can show their
movement exactly like how we how Lord
the Rings made Smeagol like the exact
same thing so that when they move and
their expressions in their body language
is translated into this avatar in a come
you know in a one-to-one sort of way was
this something that was like super
popular yeah I got a wonder how many
characters you can have on screen at the
same time because I was gonna take a
buttload of processing power remember
how many they said it took hundreds of
hours to render out Gollum in The Lord
of the Rings to do that in real time
with multiple participants that's just
daunting it is I mean and that's I mean
you're touching on one of the challenges
that people don't think about for VR
creators is that not only is that a lot
of rendering to do but it's live
rendering like with an animated 3d
animated film or something like Lord of
the Rings where you have a heavy CG
element you can shoot it and then you
can just stick it in your servers and
let them render render render render
forever however long as it needs but in
virtual reality experience because it's
live it needs to live render and that's
why you know when I was in this
experience with a live actor
I had a backpack that was my computer so
I can walk and it could live render
everything that was happening well and
how graphically detailed was the Frog
was it kind of like a pixelated frog or
I mean it didn't look like it didn't
look like Lord of the Rings like it
didn't look photorealistic but it wasn't
designed to look photorealistic you know
there's ways to cheat a cheating isn't
even the right world there's ways to
stylize so yeah it was a stylized look
it was a stylized way of seeing I'd be
more frightened if it was hyper
realistic because and I feel kind of
matrix II conspiracy theory yeah yeah I
would rather see it kind of artistic
let's stay on the topic of VR how are
they gonna make this cost effective to
the average user is this going to be
something that's like a theme park ride
where you get a ticket is it gonna be
super expensive people are kind of
worried that you know how are we
actually going to participate in this as
an average citizen right well I have no
idea about their pricing ideas what we
know on the technology side is that
technology for VR is continually getting
cheaper and faster just kind of like all
technology is as people invest more in
it it gets faster cheaper better and
considering that the people that are
already investing in these technologies
are continuing to put a lot of resources
behind it I can imagine that the actual
technology side of it is going to become
more accessible as the years go on and
then in terms of experiences like this I
mean I don't know how much they could
charge depends on demand I mean I people
of Sleep No More it's a really good
example if you don't know it it's
immersive play in New York it opened in
2011 and it's really cool it's really
cool it was only supposed to run for
like two months and it's still running
seven years later and those experiences
for the just the baseline it's like a
hundred dollars for a ticket people will
spend up to like four hundred dollars to
get this very immersive you go to a
fancy dinner beforehand at their at
their restaurant that's all in the same
style as the experience itself
so I guess accessibility matters on what
is accessible to the person and what
value you put on having
thing that's so elaborate so firm me the
like sleep no more is something that
gets mentioned a lot in conversations
around in in New York a lot of people
like doing it for me I have kids so I've
never actually gone to see the show
so what's that was like why are we that
matter because okay that's true um
you're forcing me to admit that I'm just
a lame-o which is fine and we'll
establishment so needless to say the
point for me is is that having these
types of experiences that you could
potentially be able to do in your home
if you don't go out that my man could be
really helpful but anyway I eventually
got to that point it's a little bit like
the like do I stay in and watch Netflix
or do I go out to the movies like
there's that kind of calculus involved
and so the idea with having a virtual
play with live actors happen in your
home is that you're kind of striking a
little bit of a balance like you can
have an immersive experience something
that's maybe high ends that not every
not maybe is it is inaccessible in some
ways but is accessible in the sense that
you don't have to you don't have to be
in New York to be able to go see this
you have to be in New York to see sleep
no more you have to be in LA to see
things are going on there but something
like this you could be anywhere and you
could still be able to participate in
the fun of it something that you think
it's gonna be up your alley mmm-hmm
speaking of immersive events so enjoy
wants to know if we're gonna see VR
upgrade to the silent disco where people
dance and listen to music over
headphones what's the thing yeah silent
disco silent disco
you'd need wireless headphones but or
wireless headsets I should say but it's
it's feasible right I feel like it's
feasible right now if you wanted to I
feel like a lot of social VR is so
clunky right now that it feels a little
bit like that
yeah like nobody's listening to the same
like no-one's marching to the same
drummer stay in your own home and dance
with somebody in like Calcutta
staying on the topic of Ono moving on
moving on we're done with VR go ahead
and put your questions in the comments
about where you think this VR experience
could go
where do you want to see it go what is
an event or immersive experience you
would like to participate in let's talk
about t-mobile
Lost Legacy who would be the CEO if mer
if the merger happens and expanding on
that from Joseph gasps do you think
Sprint users and sprint phones will be
able to take advantage of the t-mobile
network and what did you guys think will
happen to Boost Mobile and Virgin Mobile
they're still figuring out so to answer
the last question they're still figuring
out what to actually do with Boost
virgin MetroPCS that's still being
determined as far as the CEO I'm pretty
sure it's gonna be John Legere yeah John
Legere to serve serve as a chief
executive
so that's answering two of those
questions what was the other Oh a big a
big issue with this deal in the first
place is to try to leverage the two
different Network so arguably your
service should if everything works out
the right way service should get better
if you're a t-mobile or a Sprint
customer and they could potentially
serve as a better competitor to Verizon
which Verizon has been marketing itself
as like the best most trusted biggest
network so that would probably be the
biggest benefit for consumers especially
in smaller markets like rural markets I
would probably say like t-mobile and
Sprint are pretty good in the major
cities already but as you migrate out
into rural and suburban areas you
probably got spottier service with those
guys we got a little bit of criticism in
the chat from Brian prime to the people
that believe the merger is good in any
form they are delusional t-mobile is now
basically the same price as Verizon this
will hurt American bills and reduce
their options what kind of impact can we
project over billing pricing and
competition now that it's gonna Whittle
back to three primary providers in the
US so the argument from Sprint and
t-mobile which granted they're the ones
that have to convince everybody that
this is going to be okay is that they're
actually going to be a better competitor
against AT&T and Verizon which are to
much bigger companies and have more
customers so that's that's their
argument
from the
general perspective that you go from
four competitors to three competitors
it's hard to say I mean like t-mobile
and Sprint have done a really good job
of trying to create different ways to
steal away Verizon and AT&T customers
already and you would hope from a
customer perspective that that would
continue but you never really know it's
it's hard to say and that's probably why
the government is going to take a really
hard look at this the competitive
advocate would say that reducing for
competitors to three is never gonna be
in the best interest of a consumer but
that's kind of you know that's the hard
line the ideas variation that means
prices can go up that means the amount
of services that people have to offer
could go down because there's not a
fourth player forcing people to stay
stay competitive yeah 18 t tried to buy
t-mobile quite a few years ago they were
in the top two at that point they
continued to be and the government shut
that one down they said no way is the
number two player gonna buy the number
four player that's not cool is it gonna
work that the three and four are gonna
merge I don't know it's it's kind of
weird that this came up in the first
place maybe they maybe the lawyers got
together and decided that like alright
we're gonna we're gonna take the chance
maybe from like what you had said before
about the Trump Whitehouse could
potentially be a little friendlier to
mergers but it's hard to say Carlos
Martinez Carlos Martinez sorry he's
worried about his plan changing
he's got specialty needs for his plan
what should he be on the lookout for and
what can he do to try to protect himself
happening for a year at least a year or
so yeah yeah yeah it'll take that long
for regulatory approval and and we'll
know more about that as time and just
cause the government decides whether or
not to sue to block it yeah yeah and in
the meantime for for specific types of
deals and pricing a lot of times when
these types of things happen you can get
grandfathered in that's not a guarantee
or anything and I think that that's
still a lot of things to be worked out
but the intention from Sprint and
t-mobile in
general is not to piss off their
customer bases and send them you know
running away to AT&T and Verizon so
hopefully your plan stays the same but I
think that's still being hammered out I
think it'd be kind of suicidal for them
to start messing with the coverage plans
too much or the pricing plans because it
will send people running because there
are plenty of viable options out there
well maybe there won't be and for the
record this will stay this is going to
be t-mobile innate is going forward that
doesn't mean that the Sprint brand is
going away that the wireless plan is now
being absorbed under 10 oh no if the
different company still exists well Wow
oh really I think they're gonna yeah
they made sunset the sprint name
I wish Roger was here he's having a
great time in Hawaii right now as he's
come back as he's covering this of
course but yeah he is very much our
mobile expert and we wish he was here to
help answer some of these questions but
hopefully we're doing ok we got a
question about the UK well we're not
about the UK in relation to a similar
event that took place in the UK Scott
Myatt points out that a few years ago
t-mobile and orange merged in the UK to
create EE they pushed prices up but
became the best for 4G as a result and
now the most popular network in the UK
and ayman says do you think this merger
will be similar to that merger with the
EE in England that sounds like a big
positive and I think t-mobile and Sprint
are probably really interested in having
that type of story be told there they're
both talking about how this is gonna
help supercharged their businesses that
specifically was about 4G they're
looking at 5g which is gonna cost a lot
of money to have that next generation of
superfast speeds so having them both
work together and spend a lot of money
together an investment could I don't
know
help help t-mobile and Sprint do a much
better job with 5g especially up against
Verizon and AT&T who you know they're
spending you know tons of money doing
that too
so to expand on that syringe I asked
what's up with a narrative that t-mobile
married Sprint just to get its spectrum
for 5g this looks like a typical
political marriage in the medieval age
like Game of Thrones is entire
possible I mean like sacrum spectrum is
a big play a lot of the time anytime
there's mergers and telcos so I'm sure
that had something to do with it
but I I think they're both really hoping
that together they're gonna be able to
you know do you throne either AT&T is
number two or Verizon is number one you
know they've made a lot of noise as the
two smaller players and I think they're
they're hoping to use this merger and
push through and become an even bigger
competitor so that's that's what they're
hoping all right we are just about out
of time we do want to make a note that
we will not have a show tomorrow because
seen it we'll be knee-deep in live
coverage of the f8 conference so make
sure to tune in for that and we'll have
been at the table along with is and
Bridgette commentating with Lexie on the
floor out where does it take place again
I always forget somewhere in California
not somewhere in California right at the
HQ yeah so we'll have everything from
the floor there and then 359 podcast
will resume on Wednesday before we go we
have a couple of great suggestions for
VR experiences a dog says would want to
put their wedding in VR so they can
remember the wedding in the best way
that's kind of an interesting idea right
could you see that happening custom
companies I mean if they could figure
out a way to do it and then charge you a
$300 premium because it's your wedding
I'm sure and you could definitely like
even right now you could get a 360
degree without having a vendor camera
and plop it if you're tech-savvy plop it
somewhere in the middle of things just
have the bride hold it the whole time in
her bouquet of flowers ooh do go for
that ride
all right I'm quitting see net charging
$18,000 for this idea ever sounds pretty
reasonable somebody would pay that Oh
bleep price you bring up the 360 camera
and Ricky B says what about VR tickets
to sporting events and we've seen some
360 cameras plopped down in the field
while not in the field but near the
field and we've leased and even seen
that at concerts and stuff too I wonder
if that could go into a full VR
experience and what kind of technology
that would take this truly
scopa that the NBA is the most active in
this kind of thing they've done a lot of
streaming of live games in VR they have
a partnership with magic leap to do
augmented reality stuff once magic leap
is a reality so if you want to see and
kind of let you know have a thought
experiment about what could possibly
happen in that world look at the NBA and
see what they've been doing so far and
kind of think about where they could go
interesting yeah
are we dangerously close to ready player
one I don't know because I haven't seen
the movie to have read the book okay so
sorry had to ask alright and that is
gonna do it for us we'll wrap up here
see on Wednesday hopefully see you
tomorrow for the Facebook Developers
Conference thanks everybody for joining
us and once you take us on out all right
cool the 3:59 podcast is available on
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listening setting in your questions and
we'll see you again Wednesday bye bye
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