The CFO of Verizon has been monitoring the actions of DISH as 2020 is poised to be a big year for the satellite television turned wireless provider and the 5G industry as a whole.
“We know there’s always people out there trying new things,” said Verizon CFO Matt Ellis. He also stated that “While we have been the leader, we also don’t take that for granted.”
The company continues to keep tabs on DISH and has taken note of DISH’s purchase of the 5G spectrum without having used any of it throughout the years. Now that the T-Mobile, Sprint merger is complete, DISH is in the prime position to finally put it into use. As part of the conditions of the merger, DISH is to purchase Boost Mobile from Sprint to help minimize the risk of a monopoly within the sector.
DISH’s 5G Plans Are a Marathon
The short-term goal of DISH is to acquire and operate Sprint’s soon-to-be purchased Boost Mobile. This is the perfect entry for the company into the wireless industry and will provide millions of customers to get started. The coronavirus pandemic of 2019 has caused concerns that things may be delayed and that some of the goals for DISH may be pushed back; however, the long-term endeavors of DISH’s 5G network is going to take years regardless. Beyond the time DISH will need to create its network, money is another factor. The company expects its new 5G network to cost around $10 billion and many competitors are skeptical that this will be enough to do so. Still, DISH is pressing forward with its plans city by city over several years. It will still need to have some sort of pace, the FCC has stated that DISH must cover 70% of the United States by 2023.
Funding and DISH’s Potential Mystery Partner
The financial responsibilities that DISH will have to fulfill are still being played out before us; however, the company is confident due to its cash on hand, revenue outlook, and it may also just have a trick up its sleeve. Many are speculating on a partner emerging as DISH continues to expand its wireless network. Names others are mentioning include Apple, Amazon, and Microsoft and with political and other factors fighting against foreign companies from being allowed to assist in building out 5G networks, the list of domestic firms that could be a partner seems to be growing. Despite these ties, companies such as Verizon have their doubts claiming that they spend, “a little more than ($10 billion) annually” just on routine maintenance for their network. But with DISH confident in its funding for Boost Mobile, its amount of the spectrum, and funding plans for the future, the investment in the prospects that 5G brings are worth paying attention to. DISH will look to push forward with its ambitions while the rest of the industry observes its moves closely.
Source: Fierce Wireless