The U.S. Department of Justice would “ severely set back growth and competitor ” in the U.S. mobile telecom market if its effort to block the acquisition of T - Mobile USA by AT&T are successful , AT&T said in court papers file Friday .
The $ 39 billion uniting will be good for consumer , said AT&T , joined by T - Mobile USA and T - Mobile parent company Deutsche Telekom in their reply to the DOJ ’s case look for to block the deal .
“ The combination of T - Mobile and AT&T is practiced for consumer , ” lawyers for the companies say in the reply . “ incorporate the two electronic web will release up spectrum and make substantial new capacity to run across the prominent growth in demand resulting from an increasingly on - line domain . Rather than substantially cut competitor , the commingle firm will show in more intense contest to an already vibrantly private-enterprise mart . ”
The merger would lead to eminent quality of overhaul , fewer dropped call and lower price to consumers , AT&T pronounce in the reply brief .
AT&T continue to seek an expedited hearing in the DOJ ’s antitrust lawsuit , filed Aug. 31 . “ At the same time , we have been and stay on interested in a solution that addresses the DOJ ’s issues with the T - Mobile merger , ” pronounce AT&T spokesman Michael Balmoris . “ When these discussions occur they will be secret and as such we wo n’t be point out in public . ”
AT&T is confident the peck will eventually befall , he said .
The DOJ file away an antimonopoly cause against AT&T and T - Mobile in U.S. District Court for the District of Columbia on Aug. 31 . DOJ attorney argued the fusion would take T - Mobile as a low - cost competitor to the three other countrywide mobile carriers .
AT&T , in its reply , contend that the DOJ wangle the degree of contention in the U.S. mobile marketplace . The merged company will have competition from two other internal carriers , Sprint Nextel and Verizon , but also from regional carrier such as US Cellular and Cellular South and from “ innovative upstart ” MetroPCS and Leap Wireless , AT&T ’s lawyers publish .
The DOJ “ bomb to depict accurately the state of competition in nomadic telecommunications today , the dynamic nature of the wireless industry , or the procompetitive and proconsumer impact of this transaction , ” AT&T said in the answer legal brief . “ Wireless competition is fierce : prices have declined steadily , yield is expand , technical innovation is fall out at an extraordinary tread , and new providers with groundbreaking business models have successfully entered and expanded . All of this will continue , and likely increase , after the transaction . ”
The DOJ betoken higher peregrine prices if the deal is allowed to happen .
“ The combination of AT&T and T - Mobile would ensue in 10 of millions of consumers all across the United States confront higher prices , fewer choice and lower timber product for peregrine wireless services , ” Deputy Attorney General James Cole say on Aug. 31 . “ Consumers across the land , including those in rural area and those with lower incomes , profit from contender among the Carry Nation ’s wireless carriers , particularly the four stay on interior carriers . ”
