According to Reuters, the e-commerce technology giant Amazon is considering buying Boost Mobile, the prepaid mobile phone service belonging to T-Mobile US and Sprint.
This operation would allow Amazon to use the T-Mobile wireless network for at least six years and thus enter the wireless phone market.
T-Mobile and Sprint agreed to sell the prepaid mobile phone brand to reduce market share as part of their planned $26 billion merger and according to Reuters, Amazon could be the buyer.
None of the companies involved have made any official comments on this hypothetical purchase, although analysts have already reacted to the news, calling it a “bad idea.”
Companies like AT&T and Verizon have spent more than $100 billion in the last decade creating their own networks, and their economic viability is based on the fact that the networks are open. Analysts admitted that Amazon could have its own wireless networks to facilitate its other objectives, such as operating drones and driverless vehicles, but commented that buying a network for this purpose would be “economically insane.”