FCC deals blow to AT&T

AT&T, embattled against the U.S. Department of Justice in an antitrust lawsuit that seeks to block its merger with T-Mobile, has just been saddled with another hurdle by the Federal Communications Commission.  The FCC is sending the proposed $39 billion merger to an administrative law judge review, given their view that the fusion of the two companies is anticompetitive and would lead to job loss. AT&T believes the union with T-Mobile would have the opposite effect, creating jobs and spurring telecommunications innovation. FCC Chairman Julius Genachowski's order still needs approval from the majority of commissioners before it has any teeth, but he is expected to muster the necessary support from elected officials.

 

SOURCE: Reuters