Story Published:
Feb 16, 2004 at 1:52 AM PST
Story Updated:
Aug 31, 2006 at 12:24 AM PST
LONDON - Vodafone Group PLC has bid about $35
billion for AT&T Wireless Services Inc., leaving the contest for
the nation's third-largest mobile phone carrier a bidding war with
Cingular Wireless, The Wall Street Journal reported on its Web
site.
Because both offers are similar, AT&T Wireless is seeking a
second round of offers from the companies, the newspaper reported
Sunday, citing people close to the situation.
Nextel Communications Inc. and NTT DoCoMo Inc. of Japan didn't
enter a bid, the newspaper's sources said. People close to the
situation said a choice of Vodafone or Cingular could come soon,
though AT&T Wireless may take as long as two weeks to decide.
A spokesman for British giant Vodafone declined to comment
Sunday on the reports. A week ago, Vodafone confirmed that it was
pondering a bid for AT&T Wireless, based in Redmond. An AT&T
Wireless spokesman, David Caouette, also declined to comment.
A Vodafone deal would require the British cell phone giant to
sell its 45 percent stake in Verizon Wireless, the biggest mobile
phone company in the United States.
Verizon Communications chief executive Ivan Seidenberg has said
his company would be pleased to assume full ownership of Verizon
Wireless if Vodafone decided to pursue AT&T Wireless.
Although Verizon Wireless is the nation's No. 1 cellular company
with 37.5 million subscribers, Vodafone has been discontent with
its lack of control in a market as significant as the United
States.
Atlanta-based Cingular is a joint venture between SBC
Communications Inc. and BellSouth Corp.
AT&T Wireless' share price has risen steadily in recent weeks on
news that it was putting itself on the auction block. The carrier
has more than 22 million subscribers, including a sizable base of
corporate clients who tend to use more services and spend more
money.