>> Shares of Sprint plunging over 13% Monday after agreeing to a mega merger with T-Mobile in an all stock deal worth $26 billion. John Legere, the outspoken CEO of T-Mobile, would become the new head of the proposed combined company if he gets his way. But he's got to clear some steep regulatory hurdles to combine the number three and four wireless carriers.
Anti-trust concerns killed merger talks between the two companies before. Reuters' breaking views columnist Jennifer Saba.>> So, this time we're looking at a Republican administration. So they tend to be a little friendlier towards deals, however, this is still a horizontal merger. It's a big deal and they may block it.
I mean, it is a huge hurdle for T-Mobile and Sprint to get through, even under a Republican administration. And even if President Donald Trump really wants to build that a 5G network.>> Legere says his tie up is America's best chance to stay ahead of China in the race to build 5G, which he says will give Americans a cheaper faster network and will create new jobs.
>> 5G is the next generation of wireless services. So basically, what it's going to do is, it's going to let your refrigerator talk to Alexa or autonomous cars on the road, they're gonna be talking to the roads, to make sure everything is safe. So this is very important that we have this in place.
So far, the United States is behind China and other countries.>> But investors still don't like the merger's chances, sending both Sprint and T-Mobile shares sharply lower on the day.