DOJ Files Antitrust Lawsuit to Block ATT and T Mobile Merger

In a move to block the $39 billion merger of AT&T and T-Mobile, the United States Department of Justice filed an antitrust lawsuit Wednesday in a federal court in Washington. The department requests a court order be issued to block the deal because AT&T’s acquisition of T-Mobile would “substantially lessen competition” in the wireless market.

“AT&T’s elimination of T-Mobile as an independent, low- priced rival would remove a significant competitive force from the market,” the government said in the lawsuit.

In a press conference in Washington, Deputy Attorney General James Cole said it is “crucial” to maintain competition between wireless carriers. “We are seeking to block this deal in order to preserve a vibrant and competitive marketplace,” Cole said. “Right now, only four national providers provide more than 90 percent of wireless service in the United States, and preserving competition among them is crucial.”

"We feel the combination of AT&T and T-Mobile would result in tens of millions of consumers across the U.S. facing higher prices, fewer choices, and lower quality products for wireless services," Cole added.

AT&T has not commented.

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