Posts Tagged ‘T-Moble’
February 8th, 2019 at 10:10 am
New York Agrees That a T-Mobile/Sprint Merger Would Serve the Public Interest
Posted by Print

Well, that didn’t take long.

Yesterday, the New York State Public Service Commission approved the proposed T-Mobile/Sprint merger as “in the public interest” after considering all of the relevant facts and competing arguments.

As CFIF and others have emphasized since the proposed merger’s announcement, the transaction would provide an enormous net benefit to the American economy and consumers, and there’s simply no reason for needless delay or misplaced opposition from federal, state or local governments.  In terms of faster 5G transition in the U.S., more jobs, more private telecommunications investment, greater market competition, broader nationwide coverage for consumers, capacity improvements, performance improvements and lower prices (as we highlighted just yesterday), this merger is a no-brainer.

Importantly, among other benefits to the public that we’ve emphasized, the New York Commission yesterday noted how the merger would result in a new entity whose whole would be greater than the sum of its current parts:

[T]he Petitioners have addressed concerns related to the broader issues raised by others in this case…  In response to claims that T-Mobile and Sprint would have built 5G networks in any case, the Petitioners assert that the new T-Mobile will be able to build a larger, more robust network in a more timely fashion, than either of the two companies on their own.”

We at CFIF applaud the Commission’s common-sense finding, and hope that other authorities will demonstrate similar rationality.  In particular, next week the House Judiciary and Energy & Commerce Committees will hold a joint hearing on the proposed merger.  As Energy & Commerce Committee Chairman Frank Pallone, Jr. (D – New Jersey), Judiciary Committee Chairman Jerrold Nadler (D – New York), Communications & Technology Subcommittee Chairman Mike Doyle (D – Pennsylvania) and Antitrust, Commercial & Administrative Law Subcommittee Chairman David Cicilline (D – Rhode Island) explicitly stated in their joint announcement, “We look forward to examining this merger from the perspective of what is in the best interest of consumers and hardworking people.”

Well, New York authorities examined that same question yesterday, and the answer was obvious in the affirmative.