FCC Proposes to Greenlight $26 Billion T-Mobile-Sprint Merger
The head of the Federal Communications Commission has moved to approve T-Mobile's merger with Sprint. The $26-billion deal is expected to easily pass the FCC's Republican majority - but it may take time.
The head of the Federal Communications Commission has moved to approve T-Mobile's merger with Sprint.
The $26-billion deal is expected to easily pass the FCC's Republican majority - but it may take time.
Commissioners are permitted to ask for extra time to review proposals and one Democratic commissioner has previously called for additional public input on the matter that could delay the vote for weeks.
Meanwhile, Oregon has joined a multi-state lawsuit to block the merger in court.
The plaintiffs say the deal will reduce competition and increase prices for cell phone service.
Supporters believe it will lead to faster implementation of 5G mobile technology.
A trial is expected to begin in December.
Chairman Pai’s proposal to approve the T-Mobile/Sprint transaction aims to speed 5G deployment throughout the United States and accelerate the rollout of fast mobile broadband to rural Americans.— The FCC (@FCC) August 14, 2019
U.S. regulators are approving T-Mobile's $26.5 billion takeover of rival Sprint, despite fears of higher prices and job cuts.
Friday's approval by the Justice Department and five state attorneys general comes after Sprint and T-Mobile agreed to conditions that would set up satellite-TV provider Dish as a fourth wireless company, so the number of major U.S. providers remains at four.
Dish is buying prepaid cellphone brands such as Boost and Virgin Mobile and some spectrum, or airwaves for wireless service, from the two companies. It will also be able to rent T-Mobile's network for seven years while it builds its own.
Democratic attorneys general from 13 states have sued to stop the takeover, citing consumer harm. They may not be satisfied with the settlement and choose to press ahead.
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