(Ping! Zine Web Hosting Magazine) – It appears that T-Mobile’s much talked about merger with competitor AT&T is now on hold. Today, it was revealed that the U.S. Justice Department is suing to block the proposal with an antitrust lawsuit.
The move follows fears that AT&T’s acquisition of T-Mobile would lead to decreased competition in the market.
Commenting on the matter in a press conference, U.S. Deputy Attorney General James M. Cole stated, “The Department filed its lawsuit because we believe the combination of AT&T and T-Mobile would result in tens of millions of consumers all across the United States facing higher prices, fewer choices and lower quality products for their mobile wireless services.”
In March, AT&T had announced plans to acquire the rival cellular company from Deutsche Telekom in a deal that would have been worth around $39 billion dollars. The move would have made AT&T the largest cellular provider in the United States.
The U.S. government takes antitrust concerns seriously to ensure a competitive market. For more information on the U.S. Justice Department’s opposition to the merger, visit: http://www.justice.gov/iso/opa/dag/speeches/2011/dag-speech-110831.html