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AT&T Threatening To Raise Rates After Merger Failure

An anonymous reader writes "In the quarterly earnings call following the defeat of his attempted acquisition of T-Mobile, AT&T's CEO Randall Stephenson was quick to lash out at the FCC, claiming that because his company was unable to acquire more spectrum to handle the explosion of mobile data users, AT&T would be forced to raise prices and take additional action against the highest data users. PCMag looked into the other side of the story, finding that 'The FCC spokesman ... pointed out that the FCC has approved more than 150 commercial mobile transaction applications in the past year and more than 300 in the past two years, "facts [that] were completely ignored in the [AT&T] conference call," he said.'"

2 of 247 comments (clear)

  1. Go ahead, AT&T by SecurityGuy · · Score: 5, Interesting

    And yes, I'm a customer, so this would impact me.

    We're not suckers. You're a business. If you can make more by raising rates, you will. That's an absolute given. The only reason any business led by someone with a brain doesn't raise rates is because it will cost them money because people will leave. The FCC told you no because your proposed merger would significantly reduce consumers' options to do just that. Leave.

    The irony is I, and a lot of others, are only your customer because you had an iphone exclusive. In other words, you had a deal to suppress competition. I am ditching you soon and going to Verizon now that that's over and it's about new phone time.

    I may sound anti ATT, but I'm not. Just give me good service and as good a deal or better than your competition and I'll be delighted to stay your customer. Unfortunately, that's not what you've done, and not what you're trying to do. You're trying to limit my options so I have to be your customer. That alone is reason to leave.

  2. Who needs that much bandwidth? by hawguy · · Score: 5, Interesting

    This is only tangentially related to the topic, but carriers keep promoting how fast their network is and how I can get 12mbit+ of bandwidth to my phone. But I wonder.... why should I care? Especially since I could hit my monthly download cap in less than an hour at that speed.

    I can see why faster networks benefit the carrier since faster speeds means more people can share the bandwidth, but why should I care as an end user? Even if I regularly watched movies on my phone, I don't think I can really tell the difference between a 800kbs stream and a 4mbit stream on my 3" screen. And a 90 minute movie at 4mbit will use around 2GB of my download bandwidth. (compared to around 400MB for the 800kbs stream)

    I don't have the latest phone, but with my 1Ghz single core processor, when I'm browsing the web, the browser rendering speed seems to be my limiting factor since browsing speed doesn't seem to be noticeably different whether I'm on my carrier's 3G network or my Wifi at home (with 15mbit of bandwidth to the internet).

    So, why should I really care what the peak download speed of a carrier's 4G network is? It seems like I should be more interested in the average real-world speed they can provide on a loaded network than in whether or not I can download a short burst at some high peak speed.

    Is there any reason to care about published 4G speeds? Or is it more like Megapixels in cameras - manufacturers promote megapixels because it's an easy term to explain and many people think that megapixels are most important when it's really just one of many factors (sensor size, lens, etc) that all need to be considered. A quality 5MP camera can give better images than a cheap 12MP camera.