Texas attorney general settles T-Mobile, Sprint merger lawsuit

[Polycount]

Though the impending T-Mobile/Sprint merger was initially met with plenty of opposition, most of the deal's significant opposition has evaporated over time. The FTC, FCC, and US Justice Department have all given the green light to the two companies, which has allowed the $26.5 billion deal to proceed.

However, there are still a few pockets of resistance throughout the US, for better or worse. So far, that resistance has taken the form of various state lawsuits leveled against the companies, which are part of a broader attempt to prevent the merger from reaching its conclusion. Over the past several months, though, these lawsuits have slowly been rescinded or otherwise settled, and Texas is the latest state to drop its legal action against the merger.

"My office is responsible for protecting consumers and this settlement ensures that the New T-Mobile is not in a position to overcharge Texans for wireless service..."

Texas Attorney General Ken Paxton today announced that his office has reached a settlement with T-Mobile that "resolves" the state's anti-trust claims. This resolution comes in exchange for a legally-binding promise from the new T-Mobile: following the merger, the combined entity must not raise prices on the wireless service plans of Texas residents for a period of five years.

"My office is responsible for protecting consumers and this settlement ensures that the New T-Mobile is not in a position to overcharge Texans for wireless service..." Paxton said in a statement. "Our objectives in joining the initial lawsuit were to protect Texans from unnecessary price hikes and to ensure that Texans living in both urban and rural areas will not get stuck with substandard service... This agreement achieves those objectives."

Whether or not the agreement does indeed achieve those objectives is undoubtedly going to be the topic of much debate among Texas residents. Regardless, for now, this deal seems to be the best outcome they're going to get.

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https://www.techspot.com/news/82922-texas-attorney-general-settles-t-mobile-sprint-merger.html

 

[Uncle Al]

I will bet even money that they try after the first year with some new "expenses" or "cost of operations" story ..... buyer beware!

 

[TheBigT42]

I may be in the minority but I see the T-Mobile / Sprint merger as a good thing. I have had to use the Sprint and T-Mobile networks with employer supplied devices in the past. Both were almost unusable most of the time. Based on my personal experience, I cannot fathom why anyone would use these carriers except because of cost.

I believe the merger will make T-Mobile's coverage a lot stronger and actually may become a true competitor to Verizon and AT&T.

Just my opinion...That and $5 will get you some coffee at Starbucks....your millage may vary

 

[Evernessince]

Or what? They'll fine the company for 1/10th the money they would make from raising the prices? Need to see the details on the punishment if they break their promise. I don't think 5 years is nearly enough either. You don't allow the consolidation of corporate power in exchange for temporary relief for customers. This sounds more like politics then anything actually positive for customers.

I may be in the minority but I see the T-Mobile / Sprint merger as a good thing. I have had to use the Sprint and T-Mobile networks with employer supplied devices in the past. Both were almost unusable most of the time. Based on my personal experience, I cannot fathom why anyone would use these carriers except because of cost.

I believe the merger will make T-Mobile's coverage a lot stronger and actually may become a true competitor to Verizon and AT&T.

Just my opinion...That and $5 will get you some coffee at Starbucks....your millage may vary

Reducing competition in the market is not going to fix things in a capitalist economy. Just like your local ISP, it makes zero sense for T-Mobile and Sprint to extend coverage to areas verizon already serves unless it is a city. They make far more money keeping to themselves and carving up America into a bunch of regional monopolies.

You seem to be operating on the assumption that any merger will result in anything improving when in fact all these companies answer to shareholders who's number 1 goal is to maximize profits.

 

[jpuroila]

If the prices stay the same for 5 years, that means this merger is harming the consumers quite significantly. All over the world, the prices for internet are DROPPING while the amount of bandwidth increases.