Today, the government has sued to block AT&T’s $39 billion aquisition of T-Mobile. According to Bloomberg, the U.S. government belives that this deal would “substantially lessen competition.”
The complaint was filed in the federal court today by the Justice Department in Washington. Bloomberg reported that “The U.S. is seeking a declaration that Dallas-based AT&T’s takeover of T-Mobile, a unit of Deutsche Telekom AG (DTE), would violate U.S. antitrust law and a court order blocking any arrangement implementing the deal.”
The U.S. said in it’s filing that “AT&T’s elimination of T-Mobile as an independent, low- priced rival would remove a significant competitive force from the market.”
There is a lot of money of money at stake for AT&T if this filing doesn’t go through. As well, the company has already faced acquisitations of bringing back the Ma Bell monopoly. Dear AT&T, I think things just got 10x harder for you guys.
Source: Bloomberg
