AT&T Will NOT Buy T-Mobile
Dec 19, 2011 4:24 PM –
Earlier this year we got breaking news that AT&T will buy T-Mobile for $39 billion in cash and stocks. Fast-forward, and according to The Wall Street Journal, AT&T and T-Mobile have released a statement to drop the merger due to strong opposition from the federal government, read:
“The actions by the Federal Communications Commission and the Department of Justice to block this transaction do not change the realities of the U.S. wireless industry. It is one of the most fiercely competitive industries in the world, with a mounting need for more spectrum that has not diminished and must be addressed immediately. The AT&T and T-Mobile USA combination would have offered an interim solution to this spectrum shortage. In the absence of such steps, customers will be harmed and needed investment will be stifled.”
Now that the deal is officially south, it seems Big Blue will owe Big Pink something to the tune of $4 billion in break up fees. At the moment, things are not looking good for AT&T… why being voted the worst U.S. carrier for the second year in a row plus this!