FCC wants hearing on AT&T, T-Mobile takeover

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Báo Đầu Tư English - 35 month(s) ago 2 readings

FCC wants hearing on AT&T, T-Mobile takeover

The US Federal Communications Commission (FCC) added its influential voice on Tuesday to those opposing AT&T's proposed $39 billion takeover of T-Mobile, the US unit of Deutsche Telekom.

The US Federal Communications Commission (FCC) added its influential voice on Tuesday to those opposing AT&T's proposed $39 billion takeover of T-Mobile, the US unit of Deutsche Telekom.

FCC chairman Julius Genachowski has asked the other four commissioners on the body for AT&T's acquisition of T-Mobile to be subject to a hearing before an administrative law judge, FCC officials said.

AT&T would have to prove at such a hearing that the takeover, which is already being opposed by the Department of Justice, would be in the public interest.

"The record clearly shows that -- in no uncertain terms -- this merger would result in a massive loss of US jobs and investment," a senior FCC official told reporters.

The Justice Department filed a lawsuit to block the deal on August 31, saying it would harm competition. The case is scheduled to go to trial in Washington on February 13.

The FCC-proposed hearing would only go ahead if the suit fails.

Larry Solomon, AT&T's senior vice president of corporate communications, said the FCC's stance was "disappointing" and the company was "reviewing all options."

"It is yet another example of a government agency acting to prevent billions in new investment and the creation of many thousands of new jobs at a time when the US economy desperately needs both," Solomon said.

AT&T, T-Mobile, Sprint Nextel and Verizon Wireless provide more than 90 per cent of the mobile wireless connections in the United States.

Verizon currently holds a 31 per cent share of the US wireless subscriber market followed by AT&T with 27 per cent, Sprint Nextel with 14 per cent and T-Mobile with nine per cent.

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