It seems like many people are pretty upset about AT&T trying to acquire T-Mobile. According to an article from Bloomberg, you can now add Sprint to that list. Sprints CEO Dan Hesse said that Sprint will “voice its concerns” to Congress. Hesse believes that the deal “hurts the wireless industry and will stifle growth.” I am sure he is also not happy about Sprints stock falling 14% yesterday amid concerns about the takeover.
The deal still isn’t done yet, and it still has to get regulatory approval from the FCC. AT&T’s senior VP Jim Cicconi responded to Hesse’s statement by saying, “we understand Sprints concerns, and we’ll be happy to address any they present to the Justice Department, FCC or Congress.” It is also rumored that Sprint held talks to buy T-Mobile. Considering AT&T obviously made a better offer, I am sure that rubs a little more salt in the wound for Sprint.
The U.S. House Judiciary Committee will hold a hearing, looking into any possible anti-competitive impacts the merger might bring. We will have to see what happens with this deal. If it goes through, it would make AT&T a giant in the industry. AT&T and Verizon would hold the top two spots in the market, while pushing Sprint down to number three.
The question is – do you think this will be good for you, the consumer?