Saturday28 January 2023

AT&T Repsonds to the DOJ Suit with a lot of nothing

Reading time is around minutes.

ATTWe have said before that Big Corporations in legal battles often sound like little kids on the playground. We yesterday AT&T replied to the Department of Justice’s Anti-Trust suit intended to prevent the acquisition of T-Mobile by AT&T with an argument that can be best described as Nuh-Uh!
The real response countered that the DOJ just did not understand how much the consumer (pronounce that AT&T) would benefit from this merger.  In fact the actual wording was “(The) complaint similarly fails to depict accurately the state of competition in mobile telecommunications today, the dynamic nature of the wireless industry, or the pro-competitive and pro-consumer impact of this transaction”.

Personally I think the DOJ hit the nail on the head when they stated that allowing AT&T to control 63% of the nation-wide market and ALL of the GSM traffic in the US is both anti-completion and severely anti-consumer. AT&T further states that they need TY-Mobile to prevent spectrum issues (AT&T has more of the spectrum that any other company as it is).  AT&T continues to want to look at things on a local level where there are numerous local competitors, but on a national scale those local companies sink into the word work where only four remain open.

Additional arguments by AT&T claim that T-Mobile is in financial trouble and blocking the merger will not help them and in turn hurt their customers. In short the response was not a response as it brought no new information to the table and only makes the very childlike proclamation of “You Don’t Get it”.
Further proof of this can be found in an e-mail that was sent with the response stating that AT&T will work with the DOJ to address their concerns with this merger.  We have previously talked about what type of concessions AT&T might have to make to get by the DOJ’s objections, but with a new suit filed by Sprint it might not be up to the DOJ any more….

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Last modified on Saturday, 10 September 2011 22:26

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