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DoJ Sues To Block T-Mobile/AT&T Merger

8/31/2011 11:26:13 AM Eastern

Washington - The U.S. Department
of Justice filed a suit in a U.S. District Court here to block AT&T's
proposed merger with T-Mobile.

In its complaint, the Justice
Department contended an independent T-Mobile merger "places important
competitive pressure on its three larger rivals, particularly in terms of
pricing, a critically important aspect of competition."

For his part, FCC chairman Julius
Genachowski said that although the FCC hasn't completed its review of the
proposal, "the record before this agency also raises serious concerns about the
impact of the proposed transaction on competition."

"Vibrant competition in wireless
services is vital to innovation, investment, economic growth and job creation,
and to drive our global leadership in mobile," he continued. "Competition
fosters consumer benefits, including more choices, better service and lower
prices."

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