AT&T cancels T-Mobile USA acquisition for $39 billion
Well one can’t say old AT&T didn’t put up a fight, but after all the opposition against the merger of AT&T with T-Mobile USA, said acquisition plans have now been laid to rest by AT&T, ending the big debate will they or wont they. Some had said it was a good idea whilst many others said it wasn’t and in the end the naysayers won out.
According to the guys over at the Boy Genius Report, AT&T has now ended their bit to acquire T-Mobile USA from Deutsche Telecom for a hefty $39 billion. The full PR from AT&T and a letter from T-Mobile USA can be read over on the BGR.
The acquisition, as I am sure you probably know, was met with strong opposition from the Department of Justice and the Federal Communications Commission whilst Sprint and others stated such an acquisition would have a ‘negative impact’ on the United States wireless market along with job losses.
As a result of ending the acquisition bit, AT&T will have to hand over a cool $4 billion as a break up fee, and will apparently enter into a ‘mutually beneficial’ roaming agreement with Deutsche Telecom along with T-Mobile USA receiving certain spectrum licenses.
So there you have it, whether you were in agreement or against the acquisition of T-Mobile by AT&T, the case is now been put to rest and will not go ahead.
Do you feel that the end of this has ended as it should have, or do you feel AT&T should have been allowed to merge with T-Mobile USA to form a larger network?
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