TMUS Stock Slips As $300B Deutsche Telekom Merger Talks Reportedly Hit A Roadblock

• Deutsche Telekom already holds around 53% of T-Mobile US and maintains effective voting control of a larger stake through existing proxy arrangements.
• While Deutsche Telekom is larger in absolute terms, T-Mobile posted stronger percentage growth in service revenue, EBITDA, and free cash flow in 2025.
• T-Mobile executives are no longer confident that a vote seeking approval for the combination from the company’s non-controlling shareholders would succeed.

T-Mobile US shares declined about 1% on Friday after reports indicated that plans for a full merger with its controlling shareholder, Deutsche Telekom, have stalled.

According to a Semafor report, the proposed roughly $300-billion combination is no longer advancing. T-Mobile’s U.S. leadership has told Deutsche Telekom that it no longer backs the transaction. Discussions started earlier in 2026 and had envisioned seeking approval from T-Mobile’s non-controlling shareholders. Company executives are no longer confident that vote would succeed.

Separately, T-Mobile executives have been informed by government officials that U.S. regulators would likely require assurances that the company’s domestic revenue would be reinvested in or retained within the United States, the report said.

Deal Talks

Deutsche Telekom already holds around 53% of T-Mobile US and maintains effective voting control of a larger stake through existing proxy arrangements. Reports in April indicated the German telecom was examining a full combination, potentially structured through a new holding company that would oversee operations of both entities. The combined company might then pursue dual listings on U.S. and European exchanges, reports said.

The proposed combination would have created a company with more than 200 million mobile subscribers, making it the world’s most valuable telecom operator. Approval would have been needed from T-Mobile’s minority shareholders, political support in Germany, and clearances from U.S. regulators, including the Committee on Foreign Investment in the United States (CFIUS).

While Deutsche Telekom is larger in absolute terms—incorporating its German, European, and Systems Solutions businesses alongside T-Mobile—T-Mobile posted stronger percentage growth in service revenue, earnings before interest, taxes, depreciation, and amortization (EBITDA), and free cash flow in 2025. That disparity fueled investor concerns about combining the faster-growing U.S. wireless business with its slower-growing parent.

How Did TMUS Retail Traders React?

On Stocktwits, retail sentiment around TMUS stock fell from ‘neutral’ to ‘bearish’ territory over the past 24 hours, while message volume fell from ‘normal’ to ‘low’ levels.

A Stocktwits user expressed surprise at the selloff on Friday. “Last time it dropped and traded sideways because of the merger speculation. Now that the merger talks are on pause, this should be a positive for TMUS,” the user wrote.

TMUS stock has fallen 15% year-to-date.

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