AT&T/T-Mobile Deal Gains Momentum from U.S. States
July 28, 2011 10:02 PM
comment(s) - last by
AT&T is receiving support from one U.S. state regulator and 11 state attorneys general who are for the merger
AT&T has been working to acquire Deutsche Telekom AG's T-Mobile USA in a
$39 billion deal
, but the U.S. Senate's antitrust committee recently expressed doubts in regards to the merger. Now, AT&T is receiving support on the matter from one U.S. state regulator and 11 state attorneys general who are for the merger.
Senator Herb Kohl (D-Wisc.), chairman of the antitrust committee, as well as Representative Anna Eshoo (D-Calif., 14th District), chairwoman of the House Energy and Commerce Communications and Technology Subcommittee, Congressman Edward Markey (D-Mass., 7th District), and Rep. John Conyers (D-Mich., 14th District) are among those opposing the AT&T/T-Mobile merger. They openly expressed their opinions in a letter to the Department of Justice (DOP) and the Federal Communications Commission (FCC) saying that
such a merger would kill competition
and hike prices for customers.
"We believe that AT&T's acquisition of T-Mobile would be a troubling backward step in federal public policy -- a retrenchment from nearly two decades of promoting competition and open markets to acceptance of a duopoly in the wireless marketplace," they wrote. "Such industry consolidation could reduce competition and increase consumer costs at a time our country can least afford it."
AT&T responded to the U.S. Senate committee, saying that these opinions are "inconsistent with antitrust law, is shared by few others, and ignores the many positive benefits and numerous supporters of the transaction." AT&T also mentioned that the merger would help it expand a quicker service to more people.
Now, it looks like AT&T has
acquired more supporters
to help push this merger along. The Louisiana Public Service Commission, which regulates transportation and public utilities in the state, voted 4-1 to approve the merger. In addition, another 11 state attorneys general wrote a letter to the DOP and FCC asking for merger-specific conditions that protect competition as well as public interest, yet doesn't delay the merger.
The 11 state attorneys general supporting the merger are Arkansas, Alabama, Georgia, Kentucky, Utah, Mississippi, Michigan, North Dakota, South Dakota, West Virginia and Wyoming.
"Their call for federal regulators to expeditiously review and
approve the merger
further builds on our unprecedented nationwide support from federal, state and local elected officials, national unions, non-profit organizations and high-tech and venture capital firms," said Wayne Watts, AT&T's senior executive vice president and general counsel.
If the merger were to go through, 80 percent of the U.S. wireless market would be consumed by two companies -- Verizon Wireless and AT&T/T-Mobile. Verizon has not mentioned whether it is for or against the merger, but chief executive Dan Mead has said that he is "not concerned" with it. Analysts believe Verizon could benefit from the merger by picking up subscribers during the potentially frustrating period of transition during the merging of both companies.
Sprint, on the other hand, has made its opinion clear -- it is against the merger mainly for competitive reasons, and has also said that bring both companies together will "stifle innovation" in the wireless market.
Ultimately, the choice is up to the Justice Department, which will conduct an antitrust review, and the FCC, which will decide if the merge is best for the public.
This article is over a month old, voting and posting comments is disabled
7/30/2011 9:22:18 AM
welcome to our website:
------- www (point) ifancyshop (point) com --------
if you like to order anything you like.
please just browse our website Quality is our Dignity;
Service is our Lift.
-------www (point) ifancyshop (point) com-----
"So, I think the same thing of the music industry. They can't say that they're losing money, you know what I'm saying. They just probably don't have the same surplus that they had." -- Wu-Tang Clan founder RZA
U.S. Senate Committee Suggests AT&T, T-Mobile Merger be Blocked
July 21, 2011, 10:18 AM
Microsoft, Facebook Among Supporters for AT&T/T-Mobile Merger
June 9, 2011, 9:04 AM
AT&T to Buy T-Mobile for $39 Billion USD
March 20, 2011, 2:52 PM
Some High-End Luxury Watchmakers Crack Down Hard on Smartwatch Faces
November 26, 2014, 1:28 AM
Microsoft Admits Lumia 925 and 1020 Have Sleeping Sickness, Bug Fix is Planned
November 24, 2014, 1:12 PM
Report: Samsung Galaxy S5 Sales Have Come in 40% Below Projections
November 24, 2014, 6:58 AM
Quick Note: Google Chromebooks Now Coming with 1TB of Google Drive Space
November 21, 2014, 1:20 PM
Xiaomi Aims to be #1 Smartphone OEM Within 10 Years, Apple Urges Caution
November 21, 2014, 9:33 AM
Quick Note: Samsung's Request to Dismiss Microsoft Lawsuit is Rejected
November 20, 2014, 12:53 PM
Most Popular Articles
Uber Exec Threatens to "Spend Millions" to Stalk Female Reporter and Her Family
November 19, 2014, 12:31 PM
Apple Replaces “FREE” Label with “GET” on App Downloads in iTunes App Store
November 19, 2014, 5:38 PM
Rand Paul Casts Crucial "No" Vote on Obama-Backed PATRIOT Act Renewal Bill
November 19, 2014, 5:15 PM
FTC Announces Crackdown on Computer Speedup/Tech Support Scams
November 20, 2014, 1:40 PM
Wal-Mart: Miss Thanksgiving, Get Xbox One + Master Chief Collection for $299
November 17, 2014, 9:40 PM
Latest Blog Posts
Costco Gives Employees Thanksgiving Off; Wal-Mart Leads "Black Thursday" Charge
Oct 29, 2014, 9:57 PM
"Bear Selfies" Fad Could Turn Deadly, Warn Nevada Wildlife Officials
Oct 28, 2014, 12:00 PM
The Surface Mini That Was Never Released Gets "Hands On" Treatment
Sep 26, 2014, 8:22 AM
ISIS Imposes Ban on Teaching Evolution in Iraq
Sep 17, 2014, 5:22 PM
Space Terrorism is a Looming Threat For the United States
Apr 23, 2014, 7:47 PM
More Blog Posts
Copyright 2014 DailyTech LLC. -
Terms, Conditions & Privacy Information