Sprint blasts AT&T over T-Mobile deal, claims 'false' allegations

The war of words between Sprint Nextel (NYSE:S) and AT&T Mobility (NYSE:T) shows no signs of slowing. In a hastily assembled press conference yesterday, Sprint's John Taylor told reporters that AT&T's April 15 blog post was "false" and "misleading." In the post, AT&T's Jim Cicconi claimed Sprint CEO Dan Hesse--who strongly opposes AT&T's proposed $39 billion purchase of T-Mobile USA--is hypocritical because of past comments he has made in support of industry consolidation. Responded Sprint's Taylor: "At Sprint, we are not opposed to M&A or consolidation in the industry. But we are opposed to an acquisition that creates a duopoly, and blatantly consolidates market power in the hands of these two companies [AT&T and Verizon]." In a response to Taylor's comments provided to Forbes, AT&T reiterated its argument for the proposed acquisition: "This hyper competitive marketplace will not become less so because of our transaction with T-Mobile."

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