AT&T Drops Its T-Mobile Merger Bid In $4b Fail [telecom]

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Faced with the prospect of a long war with U.S regulators it seemed
destined to lose, AT&T announced on Monday it would give up on its
$39-billion attempt to purchase T-Mobile, even though the decision
will cost the nation's number-two carrier at least $4 billion to walk
away from the deal.

The proposed merger would have brought together the second- and
fourth-largest telecommunications carriers in the United States,
ultimately surpassing Verizon Wireless to be the largest telecom in
the country. As recently as 11 days ago AT&T said it would not back
down (though Chief Financial Officer John Stephens did seem to betray
a bit of uncertainty). Instead, AT&T is out $4 billion with nothing to
show for a proposed merger that drew instant fire from consumer groups
and spectrum geeks.

Bill Horne
(Remove QRM from my email address to write to me directly)

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