T-Mobile-Sprint merger approved by federal judge
The deal between T-Mobile and Sprint was stopped in its tracks after an appeal by a group of states, led by California and New York senators.
Reuters reports that a federal judge approved the deal, rejecting the claim that the proposed action would violate antitrust laws and raise prices.
During the trial in December, the carriers said that a joint venture would help the companies challenge Verizon and AT&T, becoming the third-largest carrier with competitive prices and internet speeds. Joining forces would mean T-Mobile’s low-band spectrum and Sprint’s mid-band spectrum will allow for a faster roll-out of 5G network.
The opposition claimed the deal will actually reduce competition and will lead to job losses. US Senator Richard Blumental said the merger will create “another telecommunications behemoth in an already dangerously consolidated market”.
However, the final decision was made by US District Court Judge Victor Marrero, clearing the way for the $26 billion merger. He claimed there wasn’t enough evidence of the deal leading to higher prices and lower-quality wireless services, but both Cali and NY senators promised to appeal and “fight”. A final decision on the deal is expected in July 2020.
