CEO of Deutsche Telekom (DT), Timotheus Hoettges, stated that T-Mobile US would be able to fund spectrum purchases in upcoming auctions without any assistance from his company. This would reduce pressure on the parent company to inject funds into T-Mobile as the cell carrier looks to improve its network quality.

Hoettges stated during Deutsche Telekom’s third-quarter earnings conference call that he is quite confident that T-Mobile would be able to purchase spectrum by issuing new bonds or shares. According to Reuters, he said, “We consistently follow our strategy of de-risking, self-funding. I’m convinced that T-Mobile US will continue to be a source of great satisfaction for us.”

It was estimated by analysts at the Fitch credit rating agency that the carrier may have to spend in the region of $7 billion on spectrum purchases in the next few years. However, it is likely that T-Mobile would be bidding at the upcoming AWS-3 FCC spectrum auction as well as in the 600 MHz incentive auction that is set to take place in early 2016.

T-Mobile accounts for almost one-third of Deutsche Telekom’s total revenues and as much as one-fifth of the company’s core profits. Although the carrier has been a drain on Deutsche Telekom’s cash flow, it has managed to offset this somewhat by adding almost 10 million net new subscribers over the last six quarters. The third quarter saw the carrier posting a net loss of just over $90 million, partly because of the high costs associated with the integration of the MetroPCS network.

Deutsche Telekom expects the carrier’s earnings to improve during the next few quarters. According to Reuters, Chief Financial Officer Thomas Dannenfeldt had the following to say in this regard, “In the same way as revenue increases when the number of customers grows, so earnings will improve in the next few quarters as revenue rises.”

Hoettges praised the performance of T-Mobile’s CEO John Legere and CMO Mike Sievert and also labeled the carrier’s “uncarrier” branding as “one of the most impressive marketing stories I have ever seen.” He also stated, “I am very lucky that I am part of this success here.”

Recently, T-Mobile abandoned its plans to merge with Sprint. However, Hoettges stated that he felt that the continued dominance of Verizon Wireless and AT&T Mobility is not good for the industry as a whole. He stated in this regard, “I think this bifurcation of Verizon and AT&T in the long term is not healthy.”

However, Hoettges went on to mention that he did not think that US regulators would do very much about the market structure because of the fact that, in the long term, consolidation makes sense.