Sunday, 16 June 2019

US States to block T-Mobile and Sprint merger

By Chris Kelly, Total Telecom
Wednesday 12 June 19

New York and California lead a group of ten US states who oppose the deal

Ten US states, including New York and California, have filed a lawsuit to attempt to block the proposed $26 billion merger of T-Mobile and Sprint. Attorney Generals from ten US states filed a lawsuit in New York to try and block the move. "When it comes to corporate power…

Ten US states, including New York and California, have filed a lawsuit to attempt to block the proposed $26 billion merger of T-Mobile and Sprint.

Attorney Generals from ten US states filed a lawsuit in New York to try and block the move.

"When it comes to corporate power, bigger isn't always better," New York Attorney General, Letitia James, said in a statement to the media.

"The T-Mobile and Sprint merger would not only cause irreparable harm to mobile subscribers nationwide by cutting access to affordable, reliable wireless service for millions of Americans, but would particularly affect lower-income and minority communities here in New York and in urban areas across the country."

The bill has been signed by the Attorney General's of New York, California, Colorado, Connecticut, Maryland, Michigan, Mississippi, Virginia, Wisconsin and Washington DC.

The deal had looked like it was ready to be approved, when FCC chairman Ajit Pai gave it his backing last week.

"I believe that this transaction is in the public interest and intend to recommend to my colleagues that the FCC approve it. This is a unique opportunity to speed up the deployment of 5G throughout the United States and bring much faster mobile broadband to rural Americans. We should seize this opportunity,” Pai said.

However, the Department of Justice, who must also sign off on the deal, has said that it still has concerns over the proposed merger.

Earlier this year, the president of America's biggest telecoms workers' union, The Communications Workers of America (CWA) said that the deal would destroy American jobs, whilst only enriching the bank accounts of the foreign owned parent companies of both T-Mobile (Deutsche Telekom - Germany) and Sprint (Softbank - Japan).

“Trusting Sprint and T-Mobile with American jobs is like trusting a vampire at a blood bank,” Shelton said.

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Sprint and T-Mobile plot last minute asset sale

AT&T to make further job cuts in the US

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