Federal Communications Commission Chair Julius Genachowski just put a ‘not-so-fast kind sir’ on AT&T’s intentions to acquire T-Mobile. Perhaps the FCC heard the growing concerns from other carriers and decided to pursue further investigation of the deal. Genachowski recently drafted up a letter to FCC commissioners arguing “the deal would significantly diminish competition and lead to massive job losses”. Sounds like this is exactly in line with Sprint’s clear stance that was voiced earlier in the year.
Not surprisingly, AT&T responded to the FCC’s actions. Senior VP of Corporate Communications Larry Solomon highlights “it is yet another example of a government agency acting to prevent billions in new investment and the creation of many thousands of new jobs at a time when the U.S. economy desperately needs both”. AT&T will not doubt review the actions and defend itself all the while trying to convince the FCC that the intended merger will be no harm, no foul. The AT&T-Mobile drama just keeps unfolding. Let’s see how the intense lobbying done by Sprint the FCC will impact this deal moving forward.
[via Reuters]