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  • "No Effect On Competition": AT&T's Response on T-Mobile Acquisition


    This Friday, AT&T filed a statement to the Federal Communications Commission (FCC) saying that competition will continue to be vibrant even after its merger with T-Mobile USA. Included in the statement was their response to Sprint opposing their $39 billion deal and the answers to the questions AT&T was requested to answer for the FCC last month.

    In the statement, AT&T focused on a few key aspects of the acquisition. They first argued that the merger would stimulate economic and employment growth. Second, AT&T stated that it would invest $8 billion to expand its LTE development and capabilities on both AT&T and T-Mobile USA networks. Third, they believe it will promote innovation and competition in the market.

    An article on AppleInsider brought an interesting twist to the discussion:

    AT&T also turned the tables on Sprint, noting that Clearwire, which Sprint owns a majority stake in, has a "far stronger" combined spectrum position than AT&T and T-Mobile. With an average of 160-megahertz of spectrum in the top markets, Clearwire has the "best spectrum position in the industry," the filing claims. "This is more than the combined AT&T/T-Mobile company would have if their merger is approved, and does not even include the additional spectrum Sprint holds directly."
    The Supreme Court is continuing to battle with AT&T and Sprint over this issue. Even though AT&T promises to support 97% of the United States with 4G LTE, Sprint CEO Dan Hesse is begging Congress to refuse the deal.

    Source(s): AppleInsider
    This article was originally published in forum thread: "No Effect On Competition": AT&T's Response on T-Mobile Acquisition started by Joshua Tucker View original post
    Comments 18 Comments
    1. Prolix's Avatar
      Prolix -
      How does getting rid of one carrier stimulate competition? It get's rid of choice bit by bit.
    1. one1's Avatar
      one1 -
      Im going back to tin cans and strings.
    1. Joshua Tucker's Avatar
      Joshua Tucker -
      Quote Originally Posted by one1 View Post
      Im going back to tin cans and strings.
      Haha, trends do go in loops!
    1. alexevo's Avatar
      alexevo -
      i guess since i'm with at&t then i want them to get t-mobile in the hope that my reception will improve. then again if competition is a problem then why haven't we heard a peep out of verizon? are they just not that concerned with it? it seems like only sprint is really having an issue with this. are they nervous?
    1. Turnamental's Avatar
      Turnamental -
      Quote Originally Posted by alexevo View Post
      i guess since i'm with at&t then i want them to get t-mobile in the hope that my reception will improve. then again if competition is a problem then why haven't we heard a peep out of verizon? are they just not that concerned with it? it seems like only sprint is really having an issue with this. are they nervous?
      Because Sprint is going one way..... Down

      I don't see how anyone uses that network. I pay for AT&T for customer service and reliability. Neither of which Sprint has. But we most def can't be having just two networks colluding together to rape the American people....

      Sounds to me as if Sprint needs to get on the ball and launch some rockets and stuff! Be the only damn company left with *unlimited* data. That might get your sorry *** back on the map.
    1. Mes's Avatar
      Mes -
      Lies and marketing spin! AT&T+T-Mobile makes AT&T a monopoly in the GSM cellular technology. GSM is the standard in most of the world.

      AT&T customers win in the short term. EVERYONE looses in the end.
    1. Orby's Avatar
      Orby -
      AT&T was waiting for that question to be asked--Clearwire is sitting on an awful lot of spectrum, including the (far more heavily used globally) 2600 MHz band (EUTRAN VII, a.k.a. ITM-E).

      Then again, I /still/ don't understand why on earth AT&T wants to build their LTE network over 1700 MHz--IMO they'd be much better off using extra PCS frequency acquired from T-Mobile (1900 MHz in combination with AT&T's existing PCS licenses), or IMT (1900/2100 MHz) for far better global synchronicity (LTE looks like a six-frequency pony: 700-900-1800-1900-2100-2600).
    1. iKnowYouri's Avatar
      iKnowYouri -
      Maybe I'll finally get some reception at school
    1. cjgonzales1900's Avatar
      cjgonzales1900 -
      Quote Originally Posted by iKnowYouri View Post
      Maybe I'll finally get some reception at school
      by the time this merger happens you probably wont even be in school lol like 2-3 years or more for the total transformation to merge ATT and T-mobile clients.
    1. mhtruth's Avatar
      mhtruth -
      Quote Originally Posted by Mes View Post
      Lies and marketing spin! AT&T+T-Mobile makes AT&T a monopoly in the GSM cellular technology. GSM is the standard in most of the world.

      AT&T customers win in the short term. EVERYONE looses in the end.
      Your Completely right! i chose Gsm over cdma because it gives me more control. I dont have to make a call to switch over phones i pop my sim in the next phone and go no hassle. I left At&T because i got tired of the ridiculous plans, rate hikes and randomly fluctuating bill that even customer care couldn't figure. T mobile was my only serious other option... now i would be FORCED to deal with At&t or give up my imported phone fetish. I hope the FCC stops this madness before Verizon gets the bright idea to absorb sprint.
    1. Jbrooks424's Avatar
      Jbrooks424 -
      Quote Originally Posted by Prolix View Post
      How does getting rid of one carrier stimulate competition? It get's rid of choice bit by bit.
      it would stimulate competition by making the other carriers improve their coverage, and services.
    1. tudtran's Avatar
      tudtran -
      No effect on competition with Verizon and Sprint.
    1. GrandMstrBud's Avatar
      GrandMstrBud -
      I don't know why sprint would be worried. Their prices are far superior than AT&T and Verizon. I would easily pick Sprint over AT&T and Verizon if price were an issue. Plus they have any mobile and truly unlimited data so you really can't beat that.
    1. Stray's Avatar
      Stray -
      Quote Originally Posted by Turnamental View Post
      Because Sprint is going one way..... Down

      I don't see how anyone uses that network. I pay for AT&T for customer service and reliability. Neither of which Sprint has. But we most def can't be having just two networks colluding together to rape the American people....

      Sounds to me as if Sprint needs to get on the ball and launch some rockets and stuff! Be the only damn company left with *unlimited* data. That might get your sorry *** back on the map.
      Att customer service. HA. I waas on the phone with att for 15 minutes and they still suck. half the time I will get a rude employee and I'm not saying they are all like that. However with T-Mobile most of the time I get employees who are helpful and if there is a waiting time they will call me back.
    1. Shady6's Avatar
      Shady6 -
      Quote Originally Posted by Str4y View Post
      Att customer service. HA. I waas on the phone with att for 15 minutes and they still suck. half the time I will get a rude employee and I'm not saying they are all like that. However with T-Mobile most of the time I get employees who are helpful and if there is a waiting time they will call me back.
      The extremely rare occasion I need customer service from AT&T it is always fantastic.
    1. bibi555lc's Avatar
      bibi555lc -
      wow, i'll waiting for the result!
    1. pcrussell50's Avatar
      pcrussell50 -
      so, the wolf that guards the hen house is telling the hens everything is ok. what a shocker!


      -Peter
    1. Browning151's Avatar
      Browning151 -
      Fewer competitors = more stagnation and less incentive to innovate and provide better customer service. What happens after At&t acquires T-Mobile and Verizon makes a move to acquire Sprint? Then we're left with 2 major cellular providers in the US. Both of which will appear as competitors, but can easily hold hands behind closed doors to drive up prices for American consumers. Here in the good ol' U.S.of A. we already have the most arcane and outdated cellular service model compared to the rest of the world with our contractual agreements and subsidized phone pricing that it's ridiculous, add to that fact of only having 2 major "competitors" and you kill the need for development and innovation, then those 2 have the ability to just nickle and dime everyone to death with no real improvement in network coverage. Just my 2cents.