OT att and tmobile merger ... may have just hit a BRICKWALL ... - HTC EVO 3D

http://nationaljournal.com/tech/kohl-seeks-to-block-at-t-merger-20110720
Sen. Herb Kohl, D-Wis., who chairs the Senate's Antitrust Subcommitteee, is calling for regulators to block the proposed merger of AT&T and T-Mobile, saying on Wednesday that it would be "highly dangerous to competition and consumers."
Kohl wrote to the Justice Department and the Federal Communications Commission to argue that the merger would concentrate the market too much.
"I have concluded that this acquisition, if permitted to proceed, would likely cause substantial harm to competition and consumers, would be contrary to antitrust law and not in the public interest, and therefore should be blocked by your agencies," he wrote.
The senator's letter provides political cover to the FCC and Justice if they want to either block the proposed $39 billion merger outright or impose stringent conditions. The approval process is expected to last until at least the end of the year.
Kohl noted that cell phones are a daily necessity. “Therefore, in this industry, perhaps more than any other, full and vibrant competition is essential so that all consumers realize the benefits of this technology at the best prices and with the most choices.”
An AT&T spokesman disputed Kohl's assessment.
“We ... feel his view is inconsistent with antitrust law, is shared by few others, and ignores the many positive benefits and numerous supporters of the transaction," the spokesman said.
"This is a decision that will be made by the Department of Justice and the FCC under applicable law and after a full and fair examination of the facts. We continue to believe those reviews will result in approval of this transaction."
AT&T contends that competition will remain vigorous in the wireless industry even after the transaction.
It says that the merger will allow the companies to offer advanced wireless services to almost all Americans. That pledge has helped AT&T make inroads with lawmakers in both parties as it seeks approval of the deal. A group of 76 Democrats wrote to regulators in June saying that the merger may be beneficial to the spread of broadband access.
The letter from Kohl has been anticipated for weeks and helps set the tone for how Democrats in Congress will view the deal.
Earlier Wednesday, top Democrats in the House also expressed caution about the deal, saying that it could discourage investment and restrict innovation.
"We believe that AT&T's acquisition of T-Mobile would be a troubling backward step in federal public policy--a retrenchment from nearly two decades of promoting competition and open markets to acceptance of a duopoly in the wireless marketplace," House Energy and Commerce Communications and Technology Subcommittee Chairwoman Anna Eshoo, D-Calif., Rep. Edward Markey, D-Mass., and House Judiciary ranking member John Conyers, D-Mich., wrote in their letter to FCC and the Justice Department.
"Such industry consolidation could reduce competition and increase consumer costs at a time our country can least afford it."

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AMEN! ten chars

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788346: SprintFreeMsg: Public hearings on proposed AT&T/T-Mobile merger July 21, 25, 27 in Culver City, San Diego, Fresno. More info at www.cpuc.ca.gov/merger
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Cool now I may get back on Tmo when I move to Georgia next year when my sprint contract is up.

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"We believe that AT&T's acquisition of T-Mobile would be a troubling backward step in federal public policy--a retrenchment from nearly two decades of promoting competition and open markets to acceptance of a duopoly in the wireless marketplace," House Energy and Commerce Communications and Technology Subcommittee Chairwoman Anna Eshoo, D-Calif., Rep. Edward Markey, D-Mass., and House Judiciary ranking member John Conyers, D-Mich., wrote in their letter to FCC and the Justice Department.
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Yeah, that's 'cuz 30 years ago a certain little company known as AT&T was broken up into the "baby bells" (Of which Verizon, aka Bell Atlantic was one) because they were found guilty of leveraging their monopoly status unfairly and in harm to the consumer and the market and ultimately innovation.
...to be fair they only stifled innovation in 'the market' so far as the market itself is concerned. There was no market, they owned the whole game. They were actually a very technologically innovative company...though I'm sure Bell Labs was a pretty distant branch from the root of all that evil.
So, we are really to believe that a convicted abusive monopolist that has reformed and is bigger than even before is to be trusted? The company by the same name that at one time wouldn't allow you to plug in a phone from anyone but them? That wouldn't let you own your own phone? That would hard-wire a phone and charge you monthly for each extension in the house? Pffffffft.

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daneurysm said:
So, we are really to believe that a convicted abusive monopolist that has reformed and is bigger than even before is to be trusted? The company by the same name that at one time wouldn't allow you to plug in a phone from anyone but them? That wouldn't let you own your own phone? That would hard-wire a phone and charge you monthly for each extension in the house? Pffffffft.
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Great stuff, dude! If you were running for office, you'd have my vote!

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Best news I heard all day... That and it gives me a chuckle to think of ATT still being forced to pay deutsche telekom billions even if the merger falls through

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I'm still weary of it. There was an article out the other day talking about lobbyists working as staffers for politicians and guess who had the most of them, AT&T. and they all seemed to work for just the right people.
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