States allege cell phone merger will drive-up prices for consumers


John Legere, T-Mobile's chief executive, has paid many visits to the FCC as part of a charm offensive, and Sprint's executive chairman, Marcelo Claure, hosted a fundraiser for a Tennessee lawmaker who has supported issues favored by the telecommunications industry. The lawsuit will likely be filed in ny. They all also said they were concerned that the heading toward undoing its recent gains in cleaner air and water. In addition to California and New York, Colorado, Connecticut, the District of Columbia, Maryland, Michigan, Mississippi, Virginia and Wisconsin have joined the complaint, which was filed in Federal District Court in Manhattan.

Spokespeople for Sprint and T-Mobile did not respond to requests for comment.

Attorneys general from the ten states have been investigating the deal, which would reduce the number of nationwide wireless carriers to three from four.

House Democrats, led by freshman congresswoman Rashida Tlaib of MI, followed suit shortly thereafter by sending a similar letter to Pai and Department of Justice head Makan Delrahim outlining their opposition to the deal, stressing how it would "disproportionately hurt lower-income people and communities of color".

State attorneys general often participate in lawsuits aimed at stopping mergers, but rarely go it alone.

Yes, merging T-Mobile and Sprint into one company will reduce the number of major US carriers by 25% But a stronger T-Mobile-Sprint would most likely provide more competition to AT&T and Verizon, keeping the two top USA carriers more honest with their pricing.

The states' complaint also said that divesting Boost would not resolve competitive concerns since Boost would be dependent on another carrier to provide network access, meaning that it is not independent. The Justice Department is still conducting an antitrust review of the deal, though reports say a decision could come as soon as this week.

"The record is clear that it will lead to higher prices and less competition and that the companies' promises are speculative, not merger-specific and unenforceable", said Gigi Sohn, a distinguished fellow at the Georgetown Law Institute for Technology Law & Policy, in a statement.

It's unusual, though not unprecedented, for states to band together to challenge mergers. That network will, they promised, also include coverage for some rural Americans, and they said the new company will offer an in-home broadband product.

The two companies previously tried to combine during the Obama administration but regulators rebuffed them. As yet, the FCC has not formally approved the deal: the watchdog's chairman, Ajit Pai, only put out a statement indicating that he would put it forward for a vote and vote in favor.

As of March, T-Mobile and Sprint had a combined 1,556,042 telephone lines in Colorado, or roughly 1.5 million customers. T-Mobile and Sprint led the return of unlimited-data cellphone plans, for example.

The same thing happens again later: "Internal documents reveal that for several years, Deutsche Telekom AG and T-Mobile have believed that moving from four national carriers to three would be '*********,' and facilitate a '*************'". "Nor does it prevent T-Mobile from raising prices after the commitment ends".