The FCC has asked AT&T (NYSE:T) to offer proof that without its merger with T-Mobile USA that the company will face spectrum and capacity problems.
Additional spectrum has been AT&T's mantra when it comes to lobbying for approval to purchase T-Mobile USA for $39 billion. In a post on the FCC's website, the commission asked AT&T to offer "all plans, analyses and reports discussing the relative network spectrum capacity constraints of the company."
In its April 21 filing with the FCC seeking approval of the merger, AT&T said it "faces network spectrum and capacity constraints more severe than those of any other wireless provider."
The commission wants all of AT&T's presentations it has made to bankers as well as details of a breakup fee if the deal doesn't go through. AT&T will have to pay T-Mobile parent Deutsche Telekom a breakup fee of $3 billion, according to a filing with the Securities and Exchange Commission.
Meanwhile, AT&T and DT executives again appeared before Congress to press their case for AT&T's proposed purchase of T-Mobile. And again the executives faced heat from lawmakers, public-interest groups and representatives from smaller wireless carriers, who reiterated arguments that the proposed merger will stifle innovation in wireless and result in increased prices for most Americans.
- see this Bloomberg article
- read this FierceWireless article
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