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As AT&T faces Judge today, CEO says no T-Mobile deal will lead to higher prices for everyone

Posted: , by Alan F.

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As AT&T faces Judge today, CEO says no T-Mobile deal will lead to higher prices for everyone
AT&T is due back in U.S. District Court today in relation to the suit filed against it by the Department of Justice. The DOJ seeks to block the carrier's $39 billion purchase of T-Mobile and the visit to the courtroom today by both parties is simply for the Judge to make sure that both sides will be ready for the February 13th trial, and to check on the status of separate lawsuits filed by C-Spire and Sprint to block the purchase.

This is AT&T's first trip to court since it withdrew its application for the deal with the FCC. While some feel that the judge will press AT&T to make a decision on whether or not it plans on continuing to seek approval of the deal, nothing that AT&T has done since withdrawing the application from the FCC has suggested that it is giving up on closing the purchase of the nation's fourth largest carrier. In fact, the only reason why the application was pulled was to prevent the FCC from voting on an order to have the deal looked at by an administrative law judge.

Another AT&T competitor was recently added to the case when broadband wholesaler LightSquared argued that without an FCC application, there is no plan on the part of AT&T to complete the merger. But nothing prevents AT&T from resubmitting an application if it should win the trial against the DOJ.

Meanwhile, AT&T's CEO Randall Stephenson says that blocking the deal will result in higher prices for everyone. If the carrier can't add T-Mobile's pipeline to its current network, it will end up with constrained capacity that will result in price hikes. Talking at a Captains of Industry interview series with Bloomberg News Chief Norman Pearlstine at the 92nd Street Y in New York, Stephenson added that "regulators can’t keep up with the changes in the industry."

source: BusinessWeek (1), (2) via TmoNews

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posted on 09 Dec 2011, 13:51 13

1. iHateCrapple (Posts: 734; Member since: 12 Feb 2010)

"Meanwhile, AT&T's CEO Randall Stephenson says that blocking the deal will result in higher prices for everyone"

Lying sack of s***

posted on 09 Dec 2011, 14:05 11

2. squallz506 (banned) (Posts: 1075; Member since: 19 Oct 2011)

yeah, that sounded more like a threat to me. let our merger go through or well hike up our prices!!! even though we have been perfectly fine competing against T-Mobile, if we cannot acquire that pipeline we will need to overcharge our customers even more!!!

posted on 09 Dec 2011, 15:16 4

24. ReturningToNokia (Posts: 130; Member since: 09 Jul 2011)

It definitely sounded like a threat!

So, resorting to scare tactics, eh, AT&T? Where's the rhetoric to lower the prices should the merger go through, AT&T?

The thing is, AT&T would probably hike the prices regardless.

posted on 09 Dec 2011, 17:48 5

33. corporateJP (Posts: 2458; Member since: 28 Nov 2009)

I expect nothing less coming from these douchebags.

posted on 09 Dec 2011, 14:15 9

6. DetroitTech (Posts: 66; Member since: 02 Nov 2011)

This son of a B' needs to get fired!!!

posted on 09 Dec 2011, 14:46 2

13. ledbetterp3 (Posts: 467; Member since: 31 Aug 2011)

Lol, how immature, I find it funny...

posted on 09 Dec 2011, 14:51 3

14. Droid_X_Doug (Posts: 5993; Member since: 22 Dec 2010)

This is the part of the playbook where you lie as frequently as possible in hopes that the lie gets confused for the truth.

posted on 09 Dec 2011, 15:03 3

19. captn3x (Posts: 46; Member since: 08 Aug 2011)

he means because now executives from both company's will get billion dollar bonus instead of just AT&T's. Overpaid CEOs create jobs remember. Dah.

posted on 10 Dec 2011, 12:36 1

49. hepresearch (unregistered)

Well of course they do... they create some jobs, and enormous tax-free bank accounts in the Grand Cayman Islands.

posted on 09 Dec 2011, 14:09 4

3. rsiders (Posts: 1096; Member since: 17 Nov 2011)

No, ATT prices will go up. T-Mobile will still be the same affordable, good plan carrier. They don't separate text, mobile, and data like ATT does. They need to chill out.

posted on 09 Dec 2011, 14:09 2

4. Carlitos (Posts: 557; Member since: 23 Oct 2011)

Not surprised common sense.

posted on 09 Dec 2011, 14:10 9

5. remixfa (Posts: 14605; Member since: 19 Dec 2008)

So wait.. by absorbing the nations cheapest national carrier, we are SAVING the consumers from higher prices??

What IDIOT would buy that line? The only reason your prices are as low as they are now is because Sprint and Tmobile have been pushing prices lower and lower and ATT/VZW have had to respond because they started to lose a few customers.

If you take away that negative pressure on prices, they are going to rise anyways. At least right now we have a choice of another carrier with GSM if thats our phone preference. A choice that happens to be HALF as much and TWICE as fast. :)

posted on 09 Dec 2011, 14:20 1

7. christony1120 (Posts: 65; Member since: 07 Dec 2010)

Dude prices aren't the only thing that matter. You know there's such thing as speed which ATT/VZW has that T-M/S doesn't have. And almost none of Verizon costumers left look at a survey and learn your facts before you try to "diss" them

posted on 09 Dec 2011, 14:55 1

16. antifanboy (banned) (Posts: 67; Member since: 06 Dec 2011)

Facts are not important to remix when he's making a point. He's one of the most misinformed while at the same time has strong opinions lol. Don't tell him T-mobile isn't fast by the way. Watch the rant he goes on where he will claim T-Mobile is basically just as fast as LTE.

posted on 09 Dec 2011, 15:12 3

23. remixfa (Posts: 14605; Member since: 19 Dec 2008)

hey taco...err.. antifanboy, thanks for calling yourself out. See you under the next user name.

posted on 09 Dec 2011, 15:11 2

22. remixfa (Posts: 14605; Member since: 19 Dec 2008)

seriously?? lol

You wanna speed test? Last national speed test I saw, showed VZW ever so barely beating out Tmobile in speed. ATT was in a tie with sprint for LAST place. And that speed test was done BEFORE Tmobile went from 21mb/s to 42mb/s.

My claims are backed up by facts and experience. Please provide your credentials.

posted on 09 Dec 2011, 15:32 2

26. antifanboy (banned) (Posts: 67; Member since: 06 Dec 2011)

Source? Every speed test I saw has VZW far ahead. Also AT&T has HSPA + so they're much much faster than Sprint. AT&T has now rolled out LTE so that leaves T-Mobile in a distant 3rd place.

posted on 09 Dec 2011, 16:03 2

28. remixfa (Posts: 14605; Member since: 19 Dec 2008)

source? taco, the last speed test that was done by PCMag that this site linked to.

ATT was using HSPA, not HSPA+. It only maxed at 12mb/s, which is the same max as Sprint's Wimax. In real world, ATT's network was only slightly faster because sprint's "3g" was low enough to bring down its average enough to stay low. Tmobile's speeds were more than double ATT and Sprints and just a hair behind VZWs... and YET AGAIN, this was BEFORE Tmobile boosted their network to its current 42mb/s. I've done the tests, the network is even faster.
VZW has optimized their network better so it can hit 30's more often, which makes it faster than Tmobile. But if you want to pay DOUBLE the price every month for LTE when your talking a 20% speed difference at best... that your phone cant even take advantage of.. then go ahead.

Oh wait, i forgot, your Taco50, you dont have a phone that can take advantage of HSPA+ or LTE, so why do u even care?

posted on 09 Dec 2011, 17:04 1

30. antifanboy (banned) (Posts: 67; Member since: 06 Dec 2011)

I read that pc mag article and Verizon was first by a landslide. Why are you so upset? Look we know T-Mobile is cheap, even though half the price is not true, but they're not that fast. LTE is much much faster. On Verizon you pay a little more, not double, but you get much faster and wider coverage. Don't throw a hissy fit over this lol.

posted on 12 Dec 2011, 00:57

55. vmaster (Posts: 31; Member since: 11 Dec 2011)

antifanboy.....And "they're not that fast" just because you said so??? Dude nobody cares about opinions, when you express criticism, provide facts. I'll provide you a fact, I run speed tests constantly, I get on average 17mb down, 1.7up. Highs of about 20mb. You must be out of your mind to say that's slow. And quit basing your opinions on assumptions, cuz that's what it appears that you're doing.

posted on 09 Dec 2011, 18:00 2

38. omarc26 (Posts: 360; Member since: 05 Dec 2009)

Well t-mobile coverage is a joke when compared to Verizon I rather spend my money on Verizon even if its more expensive cuz I care more about coverage than data speed. But I have at&t which also has more coverage than t-mobile I know cuz my friends have t-mobile and when we take road trips I ALWAYS have better coverage than them its annoying that they have to borrow my at&t phone to make calls. And I could care less about data speeds on at&t as long as I have a signal to make calls which i always do in more places than my friends on t-mobile I'm good

posted on 09 Dec 2011, 20:00 2

39. remixfa (Posts: 14605; Member since: 19 Dec 2008)

Omar, dont you work for ATT?

And honestly, ATT is the LAST company I would ever give myself. They DONT have a bigger network than tmobile, and they ARE NOT faster. lol You just pay more for the joy of... paying more, i guess.

Money no object, it would be VZW if its an LTE market, Tmobile otherwise, then sprint... then... cricket... then metro.. then ATT.

At least with VZW your getting what your paying for and with Tmobile you get a lot MORE than what your paying for compared to the other guys (HSPA+ 42mb/s and no overage charges for 60 bux a month? beat that)

posted on 09 Dec 2011, 20:53

41. omarc26 (Posts: 360; Member since: 05 Dec 2009)

No i dont work in at&t i would never work there i have a better job dont u work at t-mobile?????? And like i said i dont care about speed i dont care if t-mobiles is hspa+42 mbps. Because i like having reception inside buildings something t-mobiles 1700 mhz band dont offer and at&ts 850 mhz does now that i think about it thats why there the only ones that offer uma because reception aint good inside buildings. With at&t and verizon u dont need uma because they actually work in all those buildings t-mobile craps out i seen it with my own eyes highrise buildings, elevators , underground parking lots my friends t-mobile galaxy s2 craps out while i have at least 2 bars on my at&t Lg nitro and shes screwed cuz those places dont have wifi lol so sucks for her . Just like u , u said at&t is the last company u would go too thats your decision,i have mines me its t-mobile the last company i would go to. Seems all u care is about SPEED i dont im the opposite i care about coverage which in my area at&t is just as good as verizon .Over here in los angeles t-mobile is not that good same with sprint it sucks. And yes money is not an issue with me i would of have verizon but so far none of there LTE phones are gsm capable and i need gsm for when i visit family in spain i just LOVE paying them high roaming charges . If they ever release a LTE/gsm phone then its gonna be a different story with me i might switch to them. And BESIDES im on grandfathered data plan on at&t so i have unlimited data.

posted on 10 Dec 2011, 06:00 2

46. remixfa (Posts: 14605; Member since: 19 Dec 2008)

yea, i do work for Tmo, and I used to work for VZW. There is a reason I've worked for them and not ATT. I have a conscience.
BTW, I havent lost signal with Tmo in a very long time. I even have full 4g HSPA+ in the middle of a very big hospital that I was doing my clinicals at, so your blanket story about how Tmobile never has service doesnt hold water. No carrier is perfect and its all about where you live. If more than one carrier fits your needs, then your an utter fool to go with the one that is double the price.

posted on 10 Dec 2011, 15:02

52. omarc26 (Posts: 360; Member since: 05 Dec 2009)

You said so yourself it all depends on were you live. And i am not an utter fool because its MY money and i spend it on whatever i want ok comprende? And at&t works best in MY area. I ALSO had full hspa+ service on at&t in the hospital when i went to go visit my mom who got operated. I was chatting away in the waiting room and elevator. If t-mobile worked in my area im not going to lie i would of gone with them because of the cheaper plans but since they dont i went with at&t.

posted on 10 Dec 2011, 02:17 2

44. Droid_X_Doug (Posts: 5993; Member since: 22 Dec 2010)

"AT&T has now rolled out LTE ..."

Yeah, right. AT&T's LTE footprint is rounding error to VZW's LTE footprint. And the iDevices don't have LTE radios, so it is effectively a non-item.

posted on 09 Dec 2011, 17:50 1

34. corporateJP (Posts: 2458; Member since: 28 Nov 2009)

Nice to see the AT&T employees (trolls) are out on the boards today.

posted on 12 Dec 2011, 00:44

54. vmaster (Posts: 31; Member since: 11 Dec 2011)

If I understand you correctly, you said ATT/VZW has speed and Tmobile doesn't. I don't know where you get your facts from, but I run on average 17mb down 1.7mb up on tmobile HSPA+ network. Max I've tested was 20.1mb.

posted on 12 Dec 2011, 01:13

56. vmaster (Posts: 31; Member since: 11 Dec 2011)

Sorry I forgot to state that above message is in response to christony1120.

And as far as coverage goes (addressing to everyone now), I have coverage practically everywhere I go. And guess what people, yes verizon has a higher coverage, but I don't wan't to pay 40% more monthly just to fund the towers for people in the boonies. I want to pay for service where I am mainly at, and T-mobile does one hell of a good job at that. And if I ever go once a year where I have "0" coverage and a verizon fan brags about "1" bar, I will brag my butt off how much I save compared to him and have coverage on the rest of the 364 out of 365 days a year.

posted on 09 Dec 2011, 22:23

42. JGuinan007 (Posts: 692; Member since: 19 May 2011)

So AT&T doesn't get T-moblie merger T-mobile has no plan to upgrade to LTE no one else is able to buy them Sprint can't afford it Verision wouldn't be allowed to buy them so then what as other companies upgrade to LTE T-mobile slowly dies away?

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