Seven states join suit against AT&T, T-Mobile deal

September 16, 2011
Seven US states threw their support on Friday behind the Department of Justice lawsuit seeking to block AT&T's $39 billion takover of T-Mobile.

Seven US states threw their support on Friday behind the Department of Justice lawsuit seeking to block AT&T's $39 billion takeover of T-Mobile.

The Justice Department said the attorney generals of California, Illinois, Massachusetts, New York, Ohio, Pennsylvania and Washington had joined the suit filed in US District Court here last month.

The move is another setback for AT&T as it seeks to salvage the proposed takeover of T-Mobile USA, the US unit of Deutsche Telekom.

"We have had an excellent working relationship with a number of state attorneys general and they have provided invaluable assistance throughout our investigation," the Justice Department said in a statement.

"We are pleased that these states have joined the department in its lawsuit," it said. "Together, we will seek to protect consumers from the anti-competitive harm that would result from this proposed transaction."

AT&T submitted a defense of its takeover bid for T-Mobile to the court last week, rejecting the Justice Department's assertion that the deal would be anti-competitive and claiming that it would benefit consumers.

"Rather than substantially reducing competition, the combined firm will usher in more intense competition to an already vibrantly competitive market," AT&T said.

US District Court Judge Ellen Huvelle has ordered lawyers for the Justice Department, AT&T and T-Mobile to attend a meeting on Wednesday to discuss the prospects for a settlement.

In the event the case goes to trial, the Justice Department proposed on Friday that it begin on March 19, 2012. AT&T has proposed a January 16, 2012 trial date.

Explore further: Sprint wants AT&T, T-Mobile deal blocked

Related Stories

Sprint wants AT&T, T-Mobile deal blocked

March 28, 2011

Sprint Nextel, the third-largest US wireless provider, urged US regulators on Monday to block AT&T's $39 billion acquisition of T-Mobile USA, saying it would harm competition.

AT&T's T-Mobile buy faces congressional scrutiny

May 11, 2011

US lawmakers grilled AT&T on Wednesday over its proposed $39 billion acquisition of rival T-Mobile USA, questioning whether the mega-merger would harm competition in the fast-growing wireless industry.

Antitrust suit a huge blow for AT&T: analysts

August 31, 2011

The decision by US authorities to challenge AT&T's $39 billion takeover of T-Mobile is a bitter blow for the US telecoms giant, but it could benefit consumers, analysts said.

Judge sets first hearing in AT&T anti-trust case

September 7, 2011

The federal judge hearing the US government's lawsuit seeking to block AT&T's $39 billion takeover of T-Mobile has set a first meeting to discuss the prospects for a settlement.

AT&T defends T-Mobile deal in response to DOJ suit

September 10, 2011

(AP) -- AT&T is countering the U.S. government's attempt to block its $39 billion acquisition of T-Mobile by depicting the deal as a way to provide consumers with better cell phone service at lower prices.

Recommended for you

Toyota promises better mileage and ride with Prius hybrid

October 13, 2015

Toyota Motor Corp. released details for its fourth-generation Prius on Tuesday, promising that improvements in the battery, engine, wind resistance and weight mean better mileage for the world's top-selling hybrid car.

Facebook to test mobile app shopping tab

October 12, 2015

Facebook said Monday that it will begin testing a shopping tab for its mobile app as it works to ramp up advertising and online commerce offerings.

1 comment

Adjust slider to filter visible comments by rank

Display comments: newest first

not rated yet Sep 16, 2011
Good. We need competition in the cell phone market.

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.