December 20, 2011
AT&T Drops Plan To Merge With T-Mobile
Faced with an expensive fight, AT&T has abandoned its attempt to merge with T-Mobile. Instead of completing the $39 billion deal, AT&T will pay Deutsche Telecom a $4 billion breach of contract fee. More here from Telecoms Europe. It will also continue to work with Deutsche Telecom through a roaming arrangement for its customers. A statement from AT&T chairman and CEO Randall Stephenson cited problems with the FCC and DOJ as reasons for failure to complete the deal.
Said representatives of the Department of Justice in part:
“This result is a victory for the millions of Americans who use mobile wireless telecommunications services. A significant competitor remains in the marketplace and consumers will benefit from a quick resolution of this matter without the unnecessary expense of taxpayer money and government resources.”
Here's a linkto the Department of Justice news release.
December 20, 2011 | Permalink
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