AT&T and T-Mobile got another setback from the FCC this week. Mashable reports…
AT&T‘s proposed merger with T-Mobile has gotten a big thumbs down from the Federal Communications Commission. In a conference call with reporters, FCC officials said the agency has concluded that the proposed transaction would significantly diminish competition and results in an unprecedented concentration in the wireless industry.
This is the second significant blow to the proposed $39 billion merger. Back in August the U.S. Department of Justice filed an antitrust lawsuit to block the deal. This FCC order essentially agrees with the DOJ. FCC officials said that if the DOJ prevails, its suggestion of a trial-like hearing would be moot.
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The next step is a hearing before an administrative law judge that will, apparently, be very much like a typical trial and should include witnesses from both sides of the debate. The judge would deliver a decision on the merger, but that would not be the end of it. The judge’s decision would then be considered by the FCC commissioners.
Want to gauge the general public’s view of the setback? Check out the comments on the Mashable article. When I looked the only pro-merger comment I saw came from someone who was called out from another commenter for working at AT&T. It will be interesting to see if more industry views come through after the holidays.