ATT & TMO merger update

[SlcCorrado]

For those of you following this, here is an article published this morning regarding the merger.


Antitrust groups have previously rapped the DOJ for being too timid in its approach to antitrust enforcement.

Source: (AHN) Reporter: Vittorio Hernandez
Location: Washington, D.C., United States Published: September 1, 2011 06:52 am EDT
Topics: Crime, Law And Justice, Trials, Litigation, Economy, Business And Finance, Computing And Information Technology, Telecommunication Service, Politics, Government, Government Departments

The U.S. Department of Justice filed a lawsuit to block the proposed $39-billion merger of AT&T with T-Mobile.

AT&T promised to battle the DOJ legal challenge.
The DOJ opposed the merger because it would be a threat to wireless competition in the U.S. The takeover would allow AT&T to gain up to $20 billion in airwaves in a bid to help handle growing call volume.
Antitrust groups have previously rapped the DOJ for being too timid in its approach to antitrust enforcement. Among the basis of their criticism was that the last time the DOM made a major legal challenge over antitrust enforcement was in 2004 when the department blocked the purchase by Oracle of PeopleSoft, but the judge turned down the DOJ arguments.
Industry observers said that if the judge would favor the DOJ, some of AT&T’s 98.6 million subscribers may move to other service provides to avoid dropped calls and obtain faster services for their electronic devices. AT&T would also have to pay a $3-billion breakup fee and transfer some of its spectrum to T-Mobile.
If the DOJ losed the suit, the second and fourth largest U.S. carriers with their merger would displace Verizon Wireless as the number one wireless service company in the country. Sprint Nextel is the third largest carrier in the U.S.


Read more: http://www.allheadlinenews.com/articles/90058786?DOJ%20blocks%20AT%26T%2C%20T-Mobile%20merger#ixzz1WhOIWy4h

Posted from my CrackBerry at wapforums.crackberry.com

[otacon72]

one Wired.com reader proposed an unfortunate merger scenario: "AT&T's zero-bars reception merged with T-Mobile's customer service. I think the result might just collapse into a black hole of suck."


That made me laugh out loud...