AT&T/T-Mobile USA is about to bring the wireless industry to it’s knees after it was announced today that AT&T the nation’s #2 wireless company plans to acquire the country’s 4th largest wireless company T-Mobile. The new company will be comprised of 130 million subscribers, while Verizon Wireless the nation’s old #1 wireless company has somewhere between 94 and 102 million which already has some financial analysts nervous. Reports Forbes:
Analysts are already expressing doubts. In a March 20 research note, Credit Suisse analyst Jonathan Chaplin called the deal “phenomenal…if it happens.” The reason for his skepticism? The regulatory risk for such a deal is “enormous,” wrote Chaplin.
The antitrust implications spur Chaplin to write that he has “never seen a deal with more regulatory risk be attempted in the U.S.” He adds that since “It is unlikely that AT&T would attempt a deal that they knew would fail,” the company may be willing to make “massive divestitures and concessions” to win approval for the transaction.
Once the deal is complete the company will have an enormous amount of power to effect the pricing of plans and phones in the wireless market. Wonder if the big wigs at Verizon have already given the nation’s 4th largest wireless company Sprint a call…..
{ 5 comments… read them below or add one }
They already did…and that’s huge…so now what next?
of course they have.
ONE WORLD ORDER PEOPLE!
its only a matter of time before verizon merges with sprint &then the TWO companies think of the “genius” plan to unite the wireless american under ONE company.
#wakeup.
This is just ridiculous. Now Tmobile folks have no choice but to pay the high price for mobile services. These guys are just raping mofo. We need a petition to Cricket to obtain GSM services!!!
No more small businesses Just one big Conglomerate. Soon There will Only be Gm, Verizon, Apple/At&t/ Viacom.
I thought this was going on already! GM, Verizon, Apple, AT&T, Viacom, Time Warner!
#wakethefukkuppeople