Feds Block Merger Of Cell Phone Giants
The Department of Justice today filed suit to block the merger of AT&T and T-Mobile, saying that if the companies were to join, millions of consumers would suffer with higher prices and fewer choices.
"AT&T’s acquisition of T-Mobile would eliminate a company that has been a disruptive force through low pricing and innovation by competing aggressively in the mobile wireless telecommunications services marketplace. AT&T could obtain substantially the same network enhancements that it claims will come from the transaction if it simply invested in its own network without eliminating a close competitor."Bam! The merger isn't officially dead until a federal judge rules. Which, of course, could take forever. But as the above-linked story notes, in the meantime thousands of workers at both companies will hang on to their jobs.