Regulatory approval is the chief issue in AT&T’s proposed acquisition of wireless rival T-Mobile USA for $39 billion.
AT&T Mobility is currently the second-largest mobile carrier in the U.S., behind Verizon Wireless. The addition of T-Mobile’s subscriber base would put AT&T at more than 129 million subscribers, edging Verizon Wireless’s 101 million (via All Things Digital).
In a conference call Monday, AT&T chief executive Randall Stephenson said the company expects the Federal Communications Commission to examine whether the T-Mobile acquisition serves the public interest, while the U.S. Department of Justice would evaluate whether the deal benefits competition. “We are confident we can meet these standards,” Stephenson said.
Mobile industry observers by and large took a dim view of the deal immediately following its announcement Sunday. For consumers, writes GigaOm’s Om Malik, the consolidation would spell reduced competition on plan pricing and services; for the industry, Malik is suspicious of AT&T wanting to reassert itself in content distribution, perhaps with an app store of its own. Links to more perspectives and analysis at GigaOm’s site.
↧