The DOJ Isn't Buying T-Mobile's Nonsensical Merger Benefit Claims

The DOJ Isn't Buying T-Mobile's Nonsensical Merger Benefit Claims

5 years ago
Anonymous $9jpehmcKty

https://www.techdirt.com/articles/20190418/08451142034/doj-isnt-buying-t-mobiles-nonsensical-merger-benefit-claims.shtml

Back in 2011 DOJ regulators blocked AT&T from acquiring T-Mobile, arguing that that the deal would have harmed consumers and resulted in higher rates by eliminating one of just four major wireless players. That's a pretty easy argument to make, given every time a country allows four wireless carriers to morph into three, the sector gets less competitive and prices go up (see: Ireland or Canada). Blocking the deal wound up being a good thing: T-Mobile went on to be even more disruptive, and has helped introduce a number of consumer-friendly market shifts like cheaper international roaming and the death of long-term contracts.

In 2014 T-Mobile and Sprint tried to merge, and regulators (quite correctly) pointed out the deal wouldn't be good for consumers or the market, and blocked it from happening.

The DOJ Isn't Buying T-Mobile's Nonsensical Merger Benefit Claims

Apr 19, 2019, 5:17pm UTC
https://www.techdirt.com/articles/20190418/08451142034/doj-isnt-buying-t-mobiles-nonsensical-merger-benefit-claims.shtml > Back in 2011 DOJ regulators blocked AT&T from acquiring T-Mobile, arguing that that the deal would have harmed consumers and resulted in higher rates by eliminating one of just four major wireless players. That's a pretty easy argument to make, given every time a country allows four wireless carriers to morph into three, the sector gets less competitive and prices go up (see: Ireland or Canada). Blocking the deal wound up being a good thing: T-Mobile went on to be even more disruptive, and has helped introduce a number of consumer-friendly market shifts like cheaper international roaming and the death of long-term contracts. > In 2014 T-Mobile and Sprint tried to merge, and regulators (quite correctly) pointed out the deal wouldn't be good for consumers or the market, and blocked it from happening.