AfterDawn: Tech news

7 states throw their support behind DOJ antitrust action against AT&T

Written by Rich Fiscus @ 16 Sep 2011 6:58 User comments (5)

7 states throw their support behind DOJ antitrust action against AT&T Seven states have joined the Department Of Justice antitrust lawsuit opposing the purchase of T-Mobile USA by AT&T.
Citing concerns over a lack of competition, the attorneys general of California, Illinois, Massachusetts, New York, Ohio, Pennsylvania, and Washington threw their support behind the suit.

New York Attorney General Eric Schneiderman said:

We must do everything we can to encourage innovation and job creation. In vulnerable upstate communities, where concentration in some markets is already very high, and in New York City’s information-intensive economy, the impact this merger would have on wireless competition, economic growth, and technological innovation would be enormous.


Shneiderman's office was involved in the Justice Department investigation of the AT&T / T-Mobile deal, and was also instrumental in a parallel review conducted by various states. Five New York cities, including New York City, Rochester & Syracuse, are among dozens specifically listed in the lawsuit as areas where the reduced competition is likely to affect prices.



This follows a letter by 15 US Representatives yesterday urging President Obama to halt the DOJ's efforts to block the deal.

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5 user comments

117.9.2011 10:17

My family works for AT&T we bank... While others tank... U jelly?

217.9.2011 17:45

I hope more states join this effort. Buying up the smaller companies to further saturate and dominate an area to then drive up prices unchallenged...that is key for them! All about the dollar. AT&T doesn't provide any better service than T-Mobile or Sprint or Verizon. As long as these other companies are operating successfully in all markets, there will be competition to provide the best service at the best price to the consumer. When companies try to monopolize, they find themselves on the short end, because someone will come out with a cheaper, better alternative! Ma Bell was broken up into baby Bell's and we got better service with lower prices. Long distance got cheaper and cheaper and cheaper until now your home phone bill is more expensive than the long distance bill. Of course, cell phones had a hand in that. The next alternative will have the same effect on cell phones if they don't stop being so greedy. We have Skype and Vonage and others that are gaining market share and these are the type of companies that will be the next innovators. Wireless competition and lots of it is what will create innovation, jobs, great service and cheaper prices. Consumers drive the market, not companies and people don't like being handcuffed to any service at ridiculous prices!

317.9.2011 20:49

Anti-trust aside, data time is too darned expensive. I'm sure it will become ever more so if ATT buys up all the services.

418.9.2011 01:38

The names of those 15 signatories should be adversely publicized in their own constituencies at re-election times.

That should hopefully teach them and others a lesson.

527.9.2011 19:49

Quote:
The names of those 15 signatories should be adversely publicized in their own constituencies at re-election times.

That should hopefully teach them and others a lesson.
I concur!

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