U.S. Government Moving to Block AT&T's Acquisition of T-Mobile

[troop231]

Bloomberg reports that the U.S. government filed a complaint today seeking a court order to block AT&T's acquisition of T-Mobile. Antitrust concerns are at the heart of the complaint:

AT&T's elimination of T-Mobile as an independent, low- priced rival would remove a significant competitive force from the market.

AT&T first announced its intent to acquire T-Mobile in March, stating that the merger would increase the company's network quality and expand the reach of its LTE capabilities.

AT&T was the only carrier offering the iPhone in the U.S. from its release in 2007 until its exclusive agreement ended earlier this year when Verizon began offering the iPhone 4 in February.

Although T-Mobile has never been an official iPhone carrier in the U.S., the company claimed that over one million iPhones were running on its network earlier this summer. Just last week there were reports that T-Mobile USA would begin offering the iPhone 5 at its release, which is widely expected in October.

Article Link: U.S. Government Moving to Block AT&T's Acquisition of T-Mobile

 

[NT1440]

Thank god, AT&T is bigger today than it was when it had to be split up all those years ago. The only reason cell companies have been allowed to get this big is because their lobbyists managed to convince congress that wireless connectivity shouldn't be subject to the same regulations that physical landline services are.

 

[Geckotek]

I hope they are successful. This was a bad move for consumers.

 

[soco]

This is GREAT news!

I was truly afraid the DOJ wouldn't have the balls to step in, so I'm absolutely, and pleasantly surprised.

GET 'EM BOYS!

 

[ct2k7]

I hope tMobile and AT&T merge

 

[dukebound85]

I hope tMobile and AT&T merge

why?

 

[Tarzanman]

why?

Probably because he has AT&t and misery loves company

 

[wordoflife]

Yay!
AT&T is too greedy. Only offering unlimited text messaging plans says enough.

 

[aziatiklover]

Yes and u know why cuz att sucks! lol

 

[Gjwilly]

Anybody else wonder if this topic may have been on the table when Steve Jobs was meeting with Obama a few months back?
I mean the T-Mobile iPhone was a pretty ballsy move given the circumstances.

 

[saving107]

http://www.bloomberg.com/news/2011-...t-to-block-proposed-at-t-t-mobile-merger.html

http://www.engadget.com/2011/08/31/us-government-files-to-block-propsed-atandt-t-mobile-merger/

Discuss!

Is this becoming a new thing now on this forum,

1. Start a new thread
2. Post some links
3. Followed by the word "Discuss" and nothing else.

I've been noticing this more and more and I'm puzzled as to why.

 

[ct2k7]

Probably because he has AT&t and misery loves company

I am an AT&T shareholder.

 

[MacRumors]

U.S. Government Moving to Block AT&T's Acquisition of T-Mobile

​

Bloomberg reports that the U.S. government filed a complaint today seeking a court order to block AT&T's acquisition of T-Mobile. Anti-trust concerns are at the heart of the complaint:

AT&T's elimination of T-Mobile as an independent, low- priced rival would remove a significant competitive force from the market.

AT&T first announced its intent to acquire T-Mobile in March, stating that the merger would increase the company's network quality and expand the reach of its LTE capabilities.

AT&T was the only carrier offering the iPhone in the U.S. from its release in 2007 until its exclusive agreement ended earlier this year when Verizon began offering the iPhone 4 in February.

Although T-Mobile has never been an official iPhone carrier in the U.S., the company claimed that over one million iPhones were running on its network earlier this summer. Just last week there were reports that T-Mobile USA would begin offering the iPhone 5 at its release, which is widely expected in October.

Article Link: U.S. Government Moving to Block AT&T's Acquisition of T-Mobile

 

[jaw04005]

I'm not sure having two major wireless carriers and two minor wireless carriers is all that great of an alternative either.

 

[r6girl]

Existing thread merged with news thread.

 

[skoorbevad]

Blocking this is a good thing for consumers.

 

[KPOM]

I'm guessing this is primarily a political move, as the timing seems unusual. I don't think that the courts will actually block the merger, though they may force AT&T to make additional concessions (e.g. give spectrum to Sprint or US Cellular, refrain from entering into exclusive phone deals for a period of time).

Note that the DOJ is under pressure because of the whole Fast and Furious debacle, and the President has also had a rough month politically and is starting up a re-election campaign. The deal has been on since March, so it seems odd that it would take so long to come up with an objection. I'm not arguing the merits, just pointing out what I think the motives are.

 

[soco]

Edit: Also nvm lol

In any event, this (as I said in the first thread) is fantastic news. I'm enjoying watching AT&T stock drop and Spring shoot up.

 

[Consultant]

My GF has t-mobile but she hates the coverage area.

Too bad. I guess she's switching for iPhone.

 

[longofest]

This absolutely blows. I'm all for competition, but I really think this merger made sense. Verizon and Sprint still provide a decent amount of competition in the US market, not to mention the other lesser known brands (Boost, etc).

 

[macinnv]

T-Mobile can't survive much longer without the iPhone. Assuming they won't be getting the iPhone in October, this just makes things worse. Now T-Mobile will be left in limbo and will probably be destroyed while the govt takes forever in this lawsuit.

 

[drnen]

holy crap seriously? Government has me so jaded and feeling hopeless i thought for sure this thing would go thru as planned. When att announced their new messaging plans (to make the decision 'easier' for consumers of course) i actually emailed the FCC. I'm actually.. happy.. about something our government is doing. This is a weird feeling.. i need to lay down.

 

[ihav0frnds]

it's not like tmo was providing much competition nowadays. they basically just break even each year.

 

[FoxyKaye]

I hope this completely derails the merger. Great job, and a win for consumers.

 

[Mr Maui]

Apple Acquisition ??

Perhaps Apple should acquire T-Mobile now, expand to build their own cell network, and screw them all!