The hammer has fallen. It looks like the US Department of Justice was not as easily swayed by AT&T. AT&T has been trying to argue how their acquisition of T-Mobile would help customers even though everybody knows that is more or less a joke. Bloomberg is reporting that the Department of Justice has filed a lawsuit against AT&T in Washington federal court saying that AT&T’s takeover of T-Mobile would violate antitrust law. Here is the gist:
“AT&T’s elimination of T-Mobile as an independent, low- priced rival would remove a significant competitive force from the market”
Say it aint so! AT&T’s shares are crashing on the news especially since AT&T would have to pay T-Mobile $3 billion cash and $4 billion in deals if the acquisition falls through. Let us know what side you are on?