Review the “
AT&T Pulls $39 Billion T-Mobile Bid on Regulatory Opposition
In 2011, AT&T attempted a merger with T-Mobile. The Justice Department sued under the act,
claiming that the merger would constitute a violation of the antitrust laws. In 2012, AT&T
dropped its attempt at the acquisition.
If AT&T had merged with T-Mobile, would the merger have violated antitrust laws? Why, or why
not? Do not be unduly influenced by the Justice Department’s stance on the issue. Use your own
analysis to reach a conclusion.
In the United States, according to Seaquist (2012), “it is a felony to monopolize or
conspire with any other person or persons, to monopolize any part of the trade or commerce
among the several States, or with foreign nations” (pg. 31.2).
This is what makes our country
great when it comes to free commerce and enterprise.
AT&T making the attempt to purchase T-
Mobile was an ambition business choice.
This acquisition is in clear violation of antitrust laws in
the United States and here is why.
There are not many major cell phone players in the United States.
The four most
prominent ones are Verizon, AT&T, T-Mobile and Sprint.
AT&T deciding to purchase T-Mobile,
according to Moritz (2011),
“this deal would have added T-Mobile’s 33.7 million customers to
AT&T’s 100.7 million subscribers, surpassing Verizon Wireless’s 107.7 million” (pg.1).