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    The Lookout

    Telecom expert: Government ‘will prevail’ in AT&T suit

    The Justice Department's bid to block AT&T's proposed $39 billion purchase of T-Mobile USA was widely anticipated by antitrust experts, and the government is likely to succeed in thwarting the deal, a former top communications regulator tells The Lookout.

    "Any objective antitrust lawyer expected this," Reed Hundt, a former chair of the Federal Communications Commission, said in a brief phone interview.

    And Hundt, who chaired the FCC from 1993 until 1997, predicted a win for the government.

    "The Department of Justice will prevail," he said. "The Justice Department in its entire history has never lost a telecom case of this sort."

    In its lawsuit filed today, the government charged that the proposed purchase "would remove a significant competitive force from the market."

     

    461 comments

    • BOOF  •  8 mths ago
      The only problem is that everyone I know that has T-Mobile hates it :-/
    • mark  •  8 mths ago
      When AT&T promised 5000 good paying jobs if a deal is reached, I knew they were doomed.
      • BOOF 8 mths ago
        Hahahahahahaha! Oh sure!
    • The Truth  •  8 mths ago
      http://updatednews.ca/2010/06/19/11-brands-that-will-disappear-in-2011/
      Yahoo also covered it t mobile made it but still you should read it.
      • Christina W 8 mths ago
        So many things have changed since then, such as the DOJ suing to block the deal. I don't think TMO is dead, but they will need to do some restructuring.
    • The Truth  •  8 mths ago
      They almost went bankrupt a few time's and was in the top ten the most likely to become bankrupt business in the u.s. but you stupid ignorant feces eating half wit's. Are to stupid to see if they go bankrupt then job's will be lost and million of subscriber's will be without phone service. The majority of you people are too stupid to have the right to comment . I wish there was some way you could revoke slow witted yahoo user's the right's to thumb up or thumb down comment's.
    • kobinadanso  •  8 mths ago
      I support the Government I have been on the other side of AT&T's greed and also currently with T-Mobile but am dealing with the lies of T-Mobile, can u imagine how customers will be treated by AT&T if they get hold of T-Mobile's account customers.
      • A Yahoo! User 8 mths ago
        I agree, they both suck. I've had both services and both are equally bad.
    • Seba  •  8 mths ago
      If the acquisition goes through, then AT&T-Mobile (or whatever it will be called), would be the only GSM carrier available in the US - which is bad news for frequent travelers who rely on GSM handsets or those who don't want to be stuck with the relatively few handsets Verizon and Sprint have to offer. I would only want to use a GSM carrier for those two reasons and also because GSM offers clearly call quality over CDMA. Lack of choice is never good. Here is an example, since AT&T locks their iPhones, customers are "forced" to use AT&T and pay their rates - around $150 a month if you want unlimited voice and data. However, if you have an unlocked iPhone, you can get unlimited data and voice for half of that. In sum, this deal is not good news for the consumer.
      CEO, Cellular Abroad, Inc.
      www.cellularabroad.com
    • Berrcat  •  8 mths ago
      I don't like AT&T, but in this case, I am on their side. If this merger goes through, they will be able to expand their broadband to areas that at present only can get dial-up. I am a medical transcriptionist. Most transcription companies require fast-speed internet so I am severely limited in job opportunities, not to mention the frustration of dial-up (especially AT&T dial-up).
      • Mike 8 mths ago
        What makes you think ATT would spend the money to improve your broadband. If ATT already bypassed your area if was for financial reasons. What has changed in your neighborhood to make it profitable for ATT.
      • Anne 8 mths ago
        Because, Mike, all the companies are constantly trying to improve, so they can get more customers. The combined companies would have more to work with, therefore allowing them to expand.
      • Tim Baker 8 mths ago
        LOL@you thinking ATT&T gives a damn about giving you broadband. AT&T will not profit from offering broadband to rural areas because there is not a high enough concentration of users in rural areas to justify the cost of the infrastructure. I am assuming you are located in what is considered a rural area because if your area would be profitable to AT&T you would already have broadband.
    • Michael R  •  8 mths ago
      Does it really matter?? The word competition is such baloney when it comes to stuff like this. The consumer never sees better prices with more competition. All we get is multiple companies charging relatively the same price for the same lousy service. If at&t wants to buy 'em, then let them. Maybe the combined companies could provide better service. Because at the end of the day, that's all the consumer really wants...reliable service. If the government wants to stick their nose in, then let them regulate prices.
    • joecool  •  8 mths ago
      Who cares? They both suck. Zero plus Zero is still Zero.
    • Terry  •  8 mths ago
      The government can not run the country or do their jobs, but when it comes to mutli billion dollar corportations they know what is best for the country. They are full of sh*@. This is another classic example of our so called government sticking their noses into things they need to stay out of. I am an AT&T customer and have been since they bought out Cingular. I was looking towards a smaller bill with the merger and my sister was looking forward to becoming part of AT&T network with her T-Mobil phone. Now the out of touch government dumbsh*@s are screwing this up as they have screwed up this country. I say lets kick all these worthless shi*heads out and start over with a new government with new ground rules for them to follow, ie... do the job you was hired to do, no behind door deals, no lobbyists, no special interest groups and no retirement packages unless you can stay hired for 20 years like the common man has to work to get retirement. The same for all government employees from top to bottom. Then we will be a rich nation without having to pay idiots retirement benefits for 3 or 4 years of so called work. These corporations make billions of dollars each year and the only thing the #$%$ ed up government can do is add trillions more to our debt. Worry about your own house before going after some one else dipshits.
    • John P  •  8 mths ago
      I personally thought that it was an unwarranted consolidation of the wireless market. I was also of the belief that it represented the sort of merger that the Justice Department would oppose. I believe that long term this merger would have resulted in much less competition in the wireless marketplace, less choice and higher prices for everyone. In this instance I support the position of the Justice Department.
    • M  •  8 mths ago
      I pay 28 bucks a month for cell phone on Tmobile. AT&T would charge me out the ass.
    • Food_For_Thought  •  8 mths ago
      Bye Everybody
    • Food_For_Thought  •  8 mths ago
      Remember Southwestern Bell Bought AT&T
    • Food_For_Thought  •  8 mths ago
      Try Working On Keeping The Phones Working During EARTHQUAKES
    • Food_For_Thought  •  8 mths ago
      Another Article By AP Completely Unbalanced
    • Food_For_Thought  •  8 mths ago
      Looking For A Job,Hundt?
    • Food_For_Thought  •  8 mths ago
      "And Hundt, who chaired the FCC from 1993 until 1997, predicted a win for the government."
      We Will See Hundt.
      "Expert"?
      So Are You Retired Now Living Off Our Taxes,Hundt?
      Go Design A Cancer Warning Label For mobile Phones.
      FCC-Are You Not Responsible For Truth In Advertising? (Esp. Political Ads)
    • keeter  •  8 mths ago
      Ha Ha, you evil corporate empire!!!
    • LG  •  8 mths ago
      Sbc(southwestern bell corp) bought out the baby bells including att since all where in the red.they took the at&t name since they were know worldwide. Unfortuantely the service isnt like it was when sbc. Sprint bought out nextel & if this merger is blocked they paln on buying t-mobile so we will still have no competetion
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