AT&T announced on Dec. 19 that it was ending its $39 billion bid to acquire rival T-Mobile. The acquisition would have combined two of the nation’s largest telecommunications companies.
AT&T previously claimed that the acquisition would have allowed the company to bring its Long-term Evolution (LTE) network coverage to 95 percent of the United States. AT&T said in a statement that the acquisition would have provided an “interim solution” to the nation’s broadband-spectrum shortage.
As previously reported by Consumers Digest, Department of Justice filed a lawsuit on Aug. 31, 2011, to block the acquisition on the basis that it would limit the number of telecommunications carrier options that are available to consumers, increase prices and reduce innovations due to less competition. DOJ says the result of AT&T’s decision is a victory for wireless telecommunications customers.
AT&T didn’t respond to inquiries from Consumers Digest.