The US Justice Department's antitrust lawsuit to block AT&T's acquisition of T-Mobile has been put on hold as the two companies regroup to decide whether to give up on the deal.
The deal, which would make AT&T the largest US mobile carrier. Over the last few months, many different parties, including competing national and regional wireless companies, public interest groups, the FCC, and the DOJ have come out in opposition to the deal.
AT&T hasn't helped their case with numerous statements which appear to be directly contradicted by their own government filings and statements to shareholders.
Howard University School Of Law Professor Andrew Gavil characterized the deal as finished, although not necessarily the end of the road for the buyout. He said (via Bloomberg):
In late November the two companies withdrew their merger application with the FCC after that agency's chairman made his disapproval of the deal clear. At this point it appears if there is any chance of a new deal, it will require them to first reach an understanding with both the FCC and DOJ regarding acceptable terms.
Or Deutsche Telekom, T-Mobile's corporate parent, could simply walk away and look for other alternatives. Unless some new company comes to the table, their chances to sell T-Mobile seem slim right now.
AT&T hasn't helped their case with numerous statements which appear to be directly contradicted by their own government filings and statements to shareholders.
Howard University School Of Law Professor Andrew Gavil characterized the deal as finished, although not necessarily the end of the road for the buyout. He said (via Bloomberg):
They've conceded that this deal is dead and signaled that they are going to try and have additional discussions with the Justice Department to see if there?s any kind of alternative deal they would agree to.
In late November the two companies withdrew their merger application with the FCC after that agency's chairman made his disapproval of the deal clear. At this point it appears if there is any chance of a new deal, it will require them to first reach an understanding with both the FCC and DOJ regarding acceptable terms.
Or Deutsche Telekom, T-Mobile's corporate parent, could simply walk away and look for other alternatives. Unless some new company comes to the table, their chances to sell T-Mobile seem slim right now.
