What Now?


This post is by Jim Horton from Online Public Relations Thoughts


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The proposed merger of Sprint-T-Mobile has run afoul of 10 states attorneys.  They are suing to stop the combination because they say it will hurt consumers.  Even though the FCC has approved the two getting together, the Justice Department is recommending that it not go forward.  All the lobbyists in DC and the 10 states can't help this situation.  The two companies will need to go to court even if the Federal government eventually approves.  T-Mobile especially is frustrated.  It has tried to merge two other times and has been blocked.  The problem is that the customers of the two companies are middle to low income, and if they raise rates, which they have promised not to do for three years, they will take away service from the more vulnerable.  There is no good solution for this logjam.  The companies will to slog through or end talks -- precisely what the states attorneys want.