X

AT&T: Forget T-Mobile Merger

Wireless giant ends $39B bid to buy T-Mobile
By Newser Editors and Wire Services
Posted Dec 19, 2011 4:33 PM CST
AT&T Drops Bid to Purchase T-Mobile
From left, AT&T President and CEO Randall Stephenson, T-Mobile President and CEO Philipp Humm, and Sprint Nextel CEO Daniel Hesse, prepare to testify on Capitol Hill in Washington, May 11, 2011.   (AP Photo/Harry Hamburg)

(Newser) – AT&T Inc. said today that it is ending its $39 billion bid to buy T-Mobile USA after facing fierce government objections. The cell phone giant said that the actions of the US government to block the deal do not change the challenges of the wireless phone industry, which it says requires more airwaves, known as spectrum, to expand. The deal would have solved that problem for a time, and without it, "customers will be harmed and needed investment will be stifled," AT&T said in a statement.

story continues below

AT&T called on the government to quickly approve its purchase of unused spectrum from Qualcomm Inc. and come up with legislation to meet the nation's long-term needs. AT&T's purchase of T-Mobile from Deutsche Telekom of Germany would have made it the largest cell phone company in the US. T-Mobile is currently the fourth-largest. AT&T now faces paying Deutsche Telekom $3 billion in cash over the merger blocked by the FCC. (Read more AT&T stories.)

We use cookies. By Clicking "OK" or any content on this site, you agree to allow cookies to be placed. Read more in our privacy policy.
Get the news faster.
Tap to install our app.
X
Install the Newser News app
in two easy steps:
1. Tap in your navigation bar.
2. Tap to Add to Home Screen.

X