The U.S. Department of Justice dealt a surprising blow to the proposed $39 billion merger between wireless providers AT&T and T-Mobile Wednesday when it filed a lawsuit to block AT&T from acquiring the smaller company, claiming the deal would violate antitrust regulations. The proposed merger, announced five months ago, would combine the nation’s second and fourth largest wireless providers — and, according to the DoJ, lead to higher prices and poorer services due to a lack of competition. It was a sentiment echoed by multiple consumer advocacy groups and other wireless providers.
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Sued and Screwed: Where Do AT&T and T-Mobile Go From Here?
Posted by: Rachelle Dragani September 1, 2011 10:56 AMThe U.S. Department of Justice dealt a surprising blow to the proposed $39 billion merger between wireless providers AT&T and T-Mobile Wednesday when it filed a lawsuit to block AT&T from acquiring the smaller company, claiming the deal would violate antitrust regulations. The proposed merger, announced five months ago, would combine the nation’s second and fourth largest wireless providers — and, according to the DoJ, lead to higher prices and poorer services due to a lack of competition. It was a sentiment echoed by multiple consumer advocacy groups and other wireless providers.