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Sprint voices concern over proposed AT&T, T-Mobile merger

March 21st, 2011 at 7:35 AM

The nation’s third largest wireless provider, Sprint Nextel, has issued a statement to voice its concerns over the proposed AT&T and T-Mobile merger. “The combination of AT&T and T-Mobile USA, if approved by the Department of Justice (DOJ) and Federal Communications Commission (FCC), would alter dramatically the structure of the communications industry,” writes Sprint. “AT&T and Verizon are already by far the largest wireless providers. A combined AT&T and T-Mobile would be almost three times the size of Sprint, the third largest wireless competitor.” The company went on to say that the merged GSM carriers, along with Verizon Wireless, would control nearly 80% of the postpaid wireless market in the United States. AT&T’s CEO, Ralph de la Vega, has said that the deal should be approved by both government bodies based on historical precedence. “I think if the criteria that has been used in the past is used against this merger, I think the appropriate authorities will find there will still be plenty of competition left,” said de la Vega in a statement to Mobilized. Should the merger fall through, AT&T could owe Deutsche Telekom as much as $3 billion.

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