Stop in the Name of the Law!
“$39 billion deal would significantly reduce competition, jack up prices and stifle innovation.”
The lawsuit was filed today in the U.S. District Court in the District of Columbia, reasoning that T-Mobile USA has a role as a low-cost competitor to the three-other cellular networks nationwide.
“The combination of AT&T and T-Mobile would result in tens of millions of consumers all across the United States facing higher prices, fewer choices and lower quality products for mobile wireless services,” Deputy Attorney General James Cole said in a statement. “Consumers across the country, including those in rural areas and those with lower incomes, benefit from competition among the nation’s wireless carriers, particularly the four remaining national carriers.”
Earlier today AT&T stated that it would return 5,000 out-sourced call-center jobs if the deal was approved.
According to company documents referenced in the DOJ report, T-Mobile sees itself as:
“the No. 1 value challenger of the established big guys in the market”
with strategies such as to:
“attack incumbents and find innovative ways to overcome scale disadvantages. [T-Mobile] will be faster, more agile, and scrappy, with diligence on decisions and costs both big and small.”
Rejoice, T-Mobile customers [such as myself]! After being with AT&T for a couple of years before and having to deal with their shoddy service, this news brings a sigh of relief.