Fourteen Attorneys General Challenge T-Mobile and Sprint Merger in Court
A coalition of 14 attorneys general takes T-Mobile and Sprint to court over their proposed $26 billion merger, arguing it reduces competition and raises consumer prices. The three-week trial features top executives defending the deal as necessary to compete in the 5G race.
A coalition of 14 attorneys general brings the biggest challenge yet to the proposed $26 billion T-Mobile and Sprint merger in a Manhattan court this week. The coalition, which includes 13 states and the District of Columbia, argues that combining the third and fourth-largest carriers in the United States hurts consumers by reducing market competition.
California Attorney General Xavier Becerra states that the merger leaves consumers with fewer choices and higher prices, directly impacting vulnerable populations. The attorneys general contend that knocking the number of major carriers down to three harms the public interest, even as T-Mobile and Sprint claim their combined resources help them compete against Verizon and AT&T in the 5G race.
The three-week trial begins with opening statements and features testimony from Sprint Chairman Marcelo Claure and T-Mobile CEO John Legere. This legal pushback contrasts with the FCC's earlier approval of the deal, setting up a major courtroom battle over the future of the American telecom industry.