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Thread: New York Attorney General and nine other states file lawsuit to block Merger

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    New York Attorney General and nine other states file lawsuit to block Merger

    New York Attorney General and nine other states file lawsuit to block T-Mobile and Sprint’s merger

    https://www.tmonews.com/2019/06/new-...sprint-merger/

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    As if these legislators have any real insight into the marketplace and the industry in general. I would not be surprised if their motions are denied as frivolous and tossed out. Let the adults make the important decisions.

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    Being a New Yorker... and having been through the Time Warner Cable/Charter merger... they don't really want to block it. They want their cut, and a promise of rural coverage so they can go back to the voters and say "see? I did this for you"... they'll stand aside real quick.

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    What a farce. Are they in VZ and AT&T's pockets?

    In their lawsuit, this group of state attorneys general argue that if T-Mobile and Sprint are allowed to merge, consumers will be harmed because competition in wireless will be “lessened substantially” and prices for mobile servies “are likely to be higher than they otherwise would be”.
    Block the merger and they will be in for a surprise.

    And why aren't MVNO's in the discussion? I have two of them on my alt dual-SIM phone and they are cheap.

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    IMHO: Sprint needs this merger with T mobile to stay alive. Blocking the merger will likely end up with 3 carriers anyhow with the remaining players fighting over the remains of Sprint. Technically, if the merger does go through with the #3 and #4 carriers they will still have to be competitive with both At&t and Verizon.
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    Just don’t use any of Sprint’s Spectrum in those states and let Sprint exit the network service in response to ending the lawsuit. Then what could they sue about if Sprint is out of business and T-Mobile isn’t using Sprint’s Spectrum in those states until the lawsuit are removed. This is all political now but after the 2020 election it will be forgotten.

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    Quote Originally Posted by veriztd View Post
    Technically, if the merger does go through with the #3 and #4 carriers they will still have to be competitive with both At&t and Verizon.
    Canada only has 3 players and their customers are screwed big time. Have there really been any real examples where reduction of competing companies still leads to competition? Maybe in the short term, but eventually prices and offerings will probably be virtually the same between all 3. Then it becomes 'pick your poison'. I also recall many times where after mergers, companies fired a ton of people. For example when HP and Compaq merged Carly Fiorina gutted some 40,000 jobs.

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    This whole process has been a farce. And it stinks.

    Somebody is getting paid and/or has ulterior motives.


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    Quote Originally Posted by Qt0 View Post
    Canada only has 3 players and their customers are screwed big time. Have there really been any real examples where reduction of competing companies still leads to competition? Maybe in the short term, but eventually prices and offerings will probably be virtually the same between all 3. Then it becomes 'pick your poison'. I also recall many times where after mergers, companies fired a ton of people. For example when HP and Compaq merged Carly Fiorina gutted some 40,000 jobs.

    Comparing the three networks in Canada to the USA’s four networks is a ridiculous joke. Even Sprint has more than 50% more customers than all the people in Canada combined. Canada would be better off with just two or maybe just one network since the whole country is bigger in physical size than the USA but only just tiny population to pay for those three network. Canada’s Network are expensive because they don’t have enough customers to pay for three networks. This is like building A Walmart, Target and a Costco in a town that only has a hundred people and a single gas station in the middle of the Mojave Desert. If you don’t have enough customers to pay for a network it should go out of business.
    Last edited by shilohcane; 06-11-2019 at 09:00 PM.

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    Quote Originally Posted by Qt0 View Post
    Canada only has 3 players and their customers are screwed big time. Have there really been any real examples where reduction of competing companies still leads to competition? Maybe in the short term, but eventually prices and offerings will probably be virtually the same between all 3. Then it becomes 'pick your poison'. I also recall many times where after mergers, companies fired a ton of people. For example when HP and Compaq merged Carly Fiorina gutted some 40,000 jobs.
    People are always stuck on those numbers: "4 is better than 3. It's more competitive". Well, no it ISN'T. It's not about the NUMBER of carriers in the game it's about the STRENGTH and QUALITY of carriers in the game. Having three strong carriers will be more competitive than the four currently at play. Now, if all of the carriers were currently reasonably competitive with one another I'd say leave them battle it out. But, Sprint has piles of spectrum just sitting unused and they really don't have a path forward to make good use of it all. Anyone who cares about the future of 5G in America should want the merger to happen. Get the spectrum into the hands of T-Mobile and let them go to work. The ensuing battle between three major players will create a better network and better prices for consumers.

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    If they want to protect me we need to have a repeat of 84' and 96'.


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    Quote Originally Posted by Qt0 View Post
    Canada only has 3 players and their customers are screwed big time. Have there really been any real examples where reduction of competing companies still leads to competition? Maybe in the short term, but eventually prices and offerings will probably be virtually the same between all 3. Then it becomes 'pick your poison'. I also recall many times where after mergers, companies fired a ton of people. For example when HP and Compaq merged Carly Fiorina gutted some 40,000 jobs.
    Exactly. We've seen WAY too many mega-mergers and many have turned out to be disasters. No more big mergers, and I'd like to see the breakup of several of these things, like AT&T-TW, Comcast/NBCU, and some of the healthcare companies as well!

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    Quote Originally Posted by cellphone-guy View Post
    People are always stuck on those numbers: "4 is better than 3. It's more competitive". Well, no it ISN'T. It's not about the NUMBER of carriers in the game it's about the STRENGTH and QUALITY of carriers in the game. Having three strong carriers will be more competitive than the four currently at play. Now, if all of the carriers were currently reasonably competitive with one another I'd say leave them battle it out. But, Sprint has piles of spectrum just sitting unused and they really don't have a path forward to make good use of it all. Anyone who cares about the future of 5G in America should want the merger to happen. Get the spectrum into the hands of T-Mobile and let them go to work. The ensuing battle between three major players will create a better network and better prices for consumers.
    Agreed and I'm glad to see an article in the WSJ today that sees this reality as well. Of course it's behind a pay wall, but here it is for those who can read it.

    https://www.wsj.com/articles/killing...&mod=djemITP_h

    Here's a short quote:

    The State AGs say the merger “would eliminate Sprint as a competitor and reduce the number of [mobile network operators] with nationwide networks in the United States from four to three.” But a market of three strong wireless players would be more competitive than a de facto duopoly led by AT&T and Verizon. T-Mobile has 79 million customers while Sprint boasts 54 million compared to Verizon (118 million) and AT&T (94 million). The Big Two need a strong competitor, not two weaklings that may not survive for long.

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    These states want to keep prices lower for wireless consumers so they can get more tax revenue out of them in a different way.

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    Is that article implying the states are willing to negotiate now? Haven't read the article. What I'm seeing online is better terms especially for prepaid and mvvno plus rural would get the states to drop any suit they planned

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