It’s been just a couple weeks since the Unites States Department of Justice decided it didn’t like the look of AT&T’s plans to swallow-up T-Mobile one bit, and filed suit in an attempt to stop the acquisition. Those opposed to the merger are now further tightening ranks, with seven US States signing-on with the DOJ.
The attorney generals of New York, Washington, California, Illinois, Massachusetts, Ohio, and Pennsylvania have all gotten behind the DOJ’s position that this proposed merger would decrease competition in the wireless market, bringing with it the higher prices and stagnating innovation associated with a monopoly (or, in this case, the Verizon/AT&T duopoly).
Those seven states represent a sizable fraction of the nation’s cellphone users, so this action may actually have some weight behind it. Right now, we’re waiting to see what goes down on September 21, when the DOJ, T-Mobile, and AT&T have been instructed by the judge presiding over the case to be ready to start talking over the terms of a settlement, if things come to that; the additional backing of these individual states may give the DOJ a little extra ammunition for that bargaining session.
Source: The Consumerist