Rumors have surfaced that Deutsche Telecom, which already owns T-Mobile, might be looking to buy Sprint-Nextel.

The combined company would leapfrog AT&T/Cingular and Verizon Wireless to become the largest wireless operator in the US. There cojuld be regulatory hurdles and some financing concerns. On the other hand, Sprint-Nextel is currently spiraling downwards, between an ever-decreasing subscriber base and hemorraging losses from the handset business and could use a savior.

DT has billions to burn and may be looking to triple their footprint in the US in one quick step. This prediction will be judged as successful if there is a public announcement of a acquisition or merger agreement between Deutsche Telecom (or T-Mobile) and Sprint-Nextel (or whatever portion includes the wireless service operator if Sprint-Nextel divides itself) by the closing date.

This prediction requires only the announcement, not the closing of such a deal.