Seven States Pile On To Block AT&T/T-Mobile Deal
An anonymous reader writes "New York, California, and five other U.S. states have joined a lawsuit initiated by the Department of Justice that would block AT&T's merger with T-Mobile. 'The revised filing comes ahead of a court hearing next week, when the two sides are scheduled to discuss the prospects of a settlement. AT&T has said that it will contest the Justice Department's lawsuit, while also seeking a potential settlement.' CNet notes that 'States don't have the power to block the deal, but they can influence the federal regulators and make it more onerous if AT&T attempts to negotiate for concessions to close the deal. They can also slow down the process with their own lawsuits.'"
So who do I write to try and get my state to help block this as well? I assume my congressman but I don't think he actually gets my letters because if he does they must show up under spam. Perhaps I should lie to Rick Perry and say I'll vote for him if he supports this. I mean if politicians lie to me I can lie to them right?
Give your congressman a bj in an airport bathroom. He'll be far more receptive after that.
I'm a current T-Mobile customer and I want nothing to do with AT&T.
I would have to cancel my account if this merger goes through and I don't know what I would do because T-Mobile has the best prepaid plans of any carrier. I'm positive AT&T will screw that up if they were to take over.
What is going to happen to T-Mobile if AT&T doesn't buy them? Their parent company, Deutsche Telekom, has stated they no longer wish to own and run T-Mobile and aren't going to invest any more money in them.
Could they just shut down the company and sell of the spectrum? What else could happen?
but if they don't, they should give the T-Mobile customer the ability to cancel/change their contract with no penalty or fees.. I sure as hell didn't avoindf AT&T and become a T-Mobile customer just to end up an AT&T customer.
The Kruger Dunning explains most post on
They'd find another buyer - maybe even a leveraged buyout by senior management or it's employees.
They could also spin it off into it's own company.
There's way too many assets there to just let the company wither and die.
As much as I detest government interference in business, I hope that these anti-trust lawsuits are successful. This is exactly the sort of thing that the anti-trust laws were intended to prevent. Given the resources ($$$) of AT&T, I expect strong lobbying and eventual approval of the deal.
JSL
Where was the love for T-Mobile before the merger or even since? Customers a leaving in droves. They lost 280,000 net subscribers last quarter. I bet most of these people saying that they don't want the merger to go through aren't even T-Mobile customers or never plan to be. It's the economics that are putting T-Mobile out of business. DT is just trying to get out now before the only option they have left is to part it out. So, unless you're a T-Mobile customer, please quit whining against the merger.
Which is why I have a CDMA Samsung Galaxy S2 from Sprint a month or so after the international launch and before AT&T and TMobile offer it. .
Also, Verizon and Sprint run on the same CDMA frequencies and have a bilateral roaming agreement. And CDMA is a more efficient modulation, allowing more users per MHz of bandwidth than any other technology.
True with 2G but GSM 3G uses Wide Band CDMA so the special efficiency is essentially the same.
They'll sell it.. to somebody.. but somebody's not going to get what they want.
vos nescitis quicquam, nec cogitatis quia expedit nobis ut unus moriatur homo pro populo et non tota gens pereat.
Not to be baiting the flame, but does it matter if this merger gets blocked anymore for us T-mobile customers? I realize the merger has not gone through officially, but something has happened on T-mobile's end already that has turned the provider to shit.
Prior to the merger announcement way back when, I could access T-mobile's website and easily find a few different customer service numbers that would connect me to operatives almost immediately. There was even one number specially reserved for existing customers that would connect me to operators who were specifically trained to keep me as a customer and treat me with respect and dginity. Nowadays I have a hard time even finding a basic T-mobile customer service number on their website. I cannot connect to the existing-customers-only help line anymore. And when I do connect to regular customer service, I am met with someone who hardly speaks any English, and cannot listen long enough to think their way out of a paper bag, much less properly address any issue I may have.
Prior to the deal T-mobile would offer no-contract plans, and would work with existing customers to cut them a deal on their grandfathered plans that made them competitive with new or monthly plan specials. Nowadays if I try to ask for anything outside of the pre-packaged 2 year contract plans offered on T-mobile's website, I am told that T-mobile, "just can't do that." Even if I explain I plan to leave the company they act like they don't care.
Prior to the merger announcement, T-mobile's network was not everywhere, but where I could get T-mobile signal, I would get a strong, steady connection that would always maintain a call. Ever since the merger announcement, all I can pick up (even from the same locations prior) are AT&T towers. I may get more AT&T signal now, but my call gets dropped every 40 minutes or so. It happens so commonly I could almost set my watch by it.
So merger or not, does it matter? I don't know if other T-mobile customers have experienced these same types of things, but from what I can tell T-mobile is letting itself go to hell with or without AT&T. Would these degradations in service be reversed if, all of the sudden, the merger was blocked? Tha;'s an honest question. Does T-mobile care enough anymore to treat its customers with the respect it used to? The message I am steadily recieving from them is a big, fat, clear, "No!"
Motorcycles, Robots, Space Gossip and More!
With 2 call centers at risk, you would think CO would be all over this. Time to get involved...
"Well, good luck finding a judge that doesn't run a bestiality site."
As a T-Mobile customer who hates T-Mobile, but refuses to go to Sprint (their coverage sucks), Verizon (too damm expensive), and both of these providers use CDMA, (I want a phone I can take overseas if I travel). So I personally would LOVE to have AT&T take over T-Mobile, if for nothing else then the added phone selection that I will be able to access.
Look, Deutsche Telekom is not going to invest any more money into T-Mobile, so someone will have to buy it, AT&T is as good a choice as any.
Regards,
MBC1977,
and already am smelling the cocaine, hookers, and $100 bills :)
It's already turning out that with most carriers, I can't use a smartphone on their network without being automatically charged for a data plan. ATT uses IMEI lookups to charge you:
http://www.bgr.com/2009/08/21/att-to-require-smartphone-data-plans-starting-september-6th/
This should be illegal! Just because I want to jot down notes on my phone doesn't mean I should be forced to pay $30 every month to ATT! This is just one of the effects of few large monopolies. Another well known example: texting plan rates were hiked up in lockstep by the monopolies. Yet another effect of a market with few, large monopolies: high rates for customers.
On a yearly basis, American cell phone users are spending about $635.85 on cell phone service. [...]By contrast people in the Netherlands and Finland pay the lowest amount for cell phone service, only $131.44 per year. And cell phone users in Sweden only pay $137.94 per year. Source: http://news.cnet.com/8301-1035_3-10307726-94.html
Why on earth would we want to allow even fewer and even larger monopolies?
It's already turning out that with most carriers, I can't use a smartphone on their network without being automatically charged for a data plan. ATT uses IMEI lookups to charge you:
http://www.bgr.com/2009/08/21/att-to-require-smartphone-data-plans-starting-september-6th/
This should be illegal! Just because I want to jot down notes on my phone doesn't mean I should be forced to pay $30 every month to ATT! This is just one of the effects of few large monopolies. Another well known example: texting plan rates were hiked up in lockstep by the monopolies. Yet another effect of a market with few, large monopolies: high rates for customers.
On a yearly basis, American cell phone users are spending about $635.85 on cell phone service. [...]By contrast people in the Netherlands and Finland pay the lowest amount for cell phone service, only $131.44 per year. And cell phone users in Sweden only pay $137.94 per year. Source: http://news.cnet.com/8301-1035_3-10307726-94.html
Why on earth would we want to allow even fewer and even larger monopolies?
First, it won't form a monopoly. There will be 2 other major carriers besides AT&T.
An oligopoly is hardly much better. Oligopolies have a reliably tendency to act a lot like monopolies. Each of the firms is well aware of the actions of the others and while they will compete, in general prices will generally be higher and the firms will retain more profits. If you want to see this in action look at the pricing of text messaging. The cost of it to the carriers is a good approximation of zero and yet they are able to charge huge margins on it. In a competitive marketplace this should be impossible but instead we have an oligopoly where each of the carriers is smart enough to not rock the boat on text message pricing. Technically it's not collusion but the net effect is identical.
Furthermore, one of those other major carriers (Sprint) is limping along and is very likely to be absorbed by someone else. I really would be surprised if they were around in another 10 years. I figure they'll either be bought by Verizon or sell their assets to some other players. Wouldn't entirely shock me to see Apple or Google or even Microsoft (maybe all three even) buy Sprint's data network though that is a rather remote possibility.
Again and again there is nothing wrong with the merger, it will create more pressure in this market, notice that it is not consumers, who are coming out with the lawsuit, just as always, it is the competing companies, who are afraid they will have to do actual real competition, find ways to cut prices, figure out how to increase customer satisfaction.
You can't handle the truth.