AT&T Gives Up on T-Mobile Acquisition (Macrumors)
AT&T announced today that the company would end its bid to acquire T-Mobile
USA.
> 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.
The acquisition intention was announced back in March, 2011. Under the
original terms of the deal, AT&T would have paid $39 billion in cash and
stock. The deal, however, was heavily criticized in an analysis by Federal
regulators who believed that the merger would limit competition in virtually
every U.S. city and lead to higher prices for customers.
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