Less than one week after the Justice Dept. filed a lawsuit to block AT&T’s pending $39 billion purchase of T-Mobile USA, Sprint has filed a lawsuit of its own (but related to the DOJ suit), seeking to have the deal called off.
“Sprint opposes AT&T’s proposed takeover of T-Mobile,” said Sprint’s VP of Litigation Susan Haller. “With today’s legal action, we are continuing that advocacy on behalf of consumers and competition, and expect to contribute our expertise and resources in proving that the proposed transaction is illegal.”
The company, which would fall to a distant third place behind AT&T and Verizon if the deal went through, has repeatedly stated the merger would be bad for both consumers and the wireless industry, leading to higher rates and less innovation. Whereas AT&T has said the deal is “all about consumers” and will increase wireless broadband access to rural areas across the country.
In a statement to Consumerist, AT&T says:
This simply demonstrates what we’ve said all along – Sprint is more interested in protecting itself than it is in promoting competition that benefits consumers. We of course will vigorously contest this matter in court as AT&T’s merger with T-Mobile USA will: help solve our nation’s spectrum exhaust situation and improve wireless service for millions; allow AT&T to expand 4G LTE mobile broadband to another 55 million Americans, or 97% of the population; and result in billions of additional investment and tens of thousands of jobs, at a time when our nation needs them most.