AT&T/T-mobile merger blocked by US government [UPDATE: AT&T and FCC respond]

It’s not often that you can genuinely look with pride at a decision taken by the government, no matter which country you reside in. According to Bloomberg: “The U.S. government filed court papers in Washington to block a proposed merger between AT&T and T-Mobile USA Inc.”

That’s all the information we have right now, but, that’s a major blow to AT&T’s world domination plans. With rumors of the next iPhone being available on T-mobile you can now rest assured that nothing is happening to your beloved carrier. We’ll bring you more info as it comes.

[UPDATE: AT&T'S senior exec, Wayne Watts, had this to say: 

“We are surprised and disappointed by today’s action, particularly since we have met repeatedly with the Department of Justice and there was no indication from the DOJ that this action was being contemplated.

We plan to ask for an expedited hearing so the enormous benefits of this merger can be fully reviewed. The DOJ has the burden of proving alleged anti-competitive affects and we intend to vigorously contest this matter in court.

At the end of the day, we believe facts will guide any final decision and the facts are clear. This merger will: Help solve our nation’s spectrum exhaust situation and improve wireless service for millions; allow AT&T to expand 4G LTE mobile broadband to another 55 million Americans, or 97% of the population; result in billions of additional investment and tens of thousands of jobs, at a time when our nation needs them most. We remain confident that this merger is in the best interest of consumers and our country, and the facts will prevail in court.”

FCC chairman Julius Genachowski gave the following response:

By filing suit today, the Department of Justice has concluded that AT&T’s acquisition of T-Mobile would substantially lessen competition in violation of the antitrust laws. Competition is an essential component of the FCC’s statutory public interest analysis, and although our process is not complete, the record before this agency also raises serious concerns about the impact of the proposed transaction on competition. Vibrant competition in wireless services is vital to innovation, investment, economic growth and job creation, and to drive our global leadership in mobile.  Competition fosters consumer benefits, including more choices, better service and lower prices.

Via: Bloomberg, ThisIsMyNext, 9to5Mac

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  • http://twitter.com/LTEstyles LTEstyles

    This is great news!!! Thank you David for always getting the story and sharing it with us! you rock! this chipmunk rocks!!!

  • Memo86

    We like,  Maybe TMOB will start getting back to its roots with good plans and great customer service

  • http://www.facebook.com/profile.php?id=601784842 Cris Myers

    All I have to say is YYYYYYYYYYYYYYEEEEEEEEEEEEEEEEEESSSSSSSSSSSSSSSSSSSS and THANK YOU!!!

  • chris

    YESSSS!!!! Best news I’ve heard since the HP Touchpad fire sale x)

  • TomF

    My concern is that since the parent company has been trying to unload TMOB is that they may now just shut it down and have a liquidation sale. We still end up with only three companies and ATT could end up with the parts that they wanted without having to buy everything.

    • Tdgenduso

      you make a great point.  I never thought about it that way.  T-Mobile (or Deutsch Telekom) should really provide some information as to what it plans to do if the deal does in fact fall through.  I bet that would change the views of a lot of people.

      • TomF

        Right, TMOBILE is going to go away, one way or another.

  • http://www.facebook.com/joelblundell Joel Blundell

    this sucks!

  • David

    That’s horrible news. Hopefully the FCC will be smart and still let the deal go through.

  • ayedoe

    OMFG ” . With rumors of the next iPhone being available on T-mobile you can now rest assured that nothing is happening to your beloved carrier. ” IF THIS IS TRUE. Ima Crap myself.

    • Techdaniiels

      Right…. Wtf did they mean by that?! That iphone 5 isnt comin to tmobile this sept-october?! :(((

  • ayedoe

    OMFG ” . With rumors of the next iPhone being available on T-mobile you can now rest assured that nothing is happening to your beloved carrier. ” IF THIS IS TRUE. Ima Crap myself.

  • ayedoe

    OMFG ” . With rumors of the next iPhone being available on T-mobile you can now rest assured that nothing is happening to your beloved carrier. ” IF THIS IS TRUE. Ima Crap myself.

  • Techdaniiels

    Will this affect the chances of iphone 5 coming to tmobile in the upcoming release?! :(

  • att<tmobile

    Thank you U.S. Government! I don’t need my old carrier (AT&T) ruling over my new one! No thanks, I left for a reason!

  • Anonymous

    Sigh.

    Hey AT&T, why not just…y’know, spend the money and expand your network to those 55 million americans? Oh, right. Because you’re greedy as all get out, you’d be making yourself look like a savior whilst eliminating a significant competitor (thus making yourself the only choice for those desiring a GSM network or importing an unlocked phone, thus creating a monopoly).

    If T-Mobile really needs to be sold, then so be it. But it should not go to AT&T. Give it to Google, give it to Sprint. But AT&T? No way.