Justice Department Sues to Halt AT&T Merger With T-Mobile

Thursday, September 01, 2011

AT&T, the one-time sole carrier of Apple’s iPhone, has had its fare share of problems: dropped calls, consumer discontent, and a shoddy network across the northeast coast made the company a "second tier" cellular carrier as far as its hard core data plan users were concerned. Until yesterday, the company had plans to fix that. AT&T was working on a $39 billion dollar merger deal with Deutsche Telekom to acquire T-Mobile USA, and expand its data and voice service across the country. But the U.S. Department of Justice may be stopping that plan dead in its tracks.

Bert Foer, president of the American Antitrust Institute, and Tim Carmody, staff writer at Wired Magazine, discuss the implications of the justice department's suit for AT&T and consumers.

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