Skip to main content

AT&T’s spin on buying T-Mobile: “Mobilize Everything”

AT&T's Randall Stephenson, Deutsche Telekom's Rene Obermann
Image used with permission by copyright holder

AT&T has begun laying out its case to federal regulators as to why they should approve its proposed $39 billion acquisition of T-Mobile USA, filing an enormous public interest statement (PDF) with the Federal Trade Commission. Under the mantra “Mobilize Everything,” AT&T is positioning the acquisition as a significant benefit to the United States public and communities, and says the acquisition will enable the combined company to bring 4G LTE broadband service to over 97 percent of the U.S. population. AT&T also highlights the competitive positions of Verizon Wireless and Sprint—characterizing their spectrum holdings as stronger than their own—and posits that T-Mobile is being eaten alive by “maverick” players in the market like MetroPCS, U.S. Cellular, and Leap.

According to AT&T, the explosion of smartphones and related wireless Internet devices like the iPad has increased the amount of data traffic its network must support by some 8,000 percent between 2007 and 2010, and the company is facing capacity constraints “more severe” than any other wireless provider. AT&T also argues that acquiring T-Mobile won’t impact competition because AT&T never considered T-Mobile an important factor when making strategic decisions. To hear AT&T tell it, the company was happy to see T-Mobile be eroded by the likes of MetroPCS and Leap and never gave the company a second thought.

Recommended Videos

AT&T’s basic case for the T-Mobile acquisition is that, by acquiring T-Mobile’s existing cell towers and spectrum licenses, the combined company will not only be able to meet demand for data-intensive mobile services, but will be able to bring mobile broadband to the vast majority of the U.S. population—a key policy goal of the Obama administration. AT&T estimates that by taking over T-Mobile’s existing sites it can leapfrog as might as eight years of licensing, regulation, and zoning processes it would otherwise have to endure in an effort to build out its network.

Other industry watchers aren’t having it, and continue to characterize AT&T’s acquisition of T-Mobile as a move to reincarnate the “Ma Bell” monopoly, only this time with a mobile twist. “Make no mistake,” wrote Free Press Research Director S. Derek Turner, in a statement. “This deal is about eliminating a competitor and nothing more. AT&T has chosen the marketing slogan ‘Mobilize Everything’ to sell this competition-killing deal, but it’s clear their real goal is to ‘Monopolize Everything.'” Critics note that if the deal were approved Verizon Wireless and AT&T would control about 80 percent of the current mobile marketplace, leaving Sprint and “maverick” carriers to tussle over the scraps. Sprint has also indicated it will vigorously oppose the merger.

AT&T and T-Mobile hope to close the deal within a year.

Geoff Duncan
Former Digital Trends Contributor
Geoff Duncan writes, programs, edits, plays music, and delights in making software misbehave. He's probably the only member…
T-Mobile’s controversial price increases have gotten it in trouble
The T-Mobile logo on a smartphone.

In May, T-Mobile, the nation’s third-largest carrier, revealed its intention to raise rates on some of its older plans by $2 to $5 per line or up to $20 per account per month. Many of those customers aren’t happy and, according to Phone Arena, are bringing a class action lawsuit against the company.

As we previously noted, the price hikes affect users of legacy Simple Choice, ONE, and Magenta plans. Some users say those increases go against the company’s Price Lock and Un-Contract obligations. The move to see T-Mobile in court comes after thousands of customers filed complaints with the U.S. FCC and FTC.

Read more
It doesn’t look like anyone can beat T-Mobile
The T-Mobile logo on a smartphone.

Even as all three big U.S. carriers continue to expand their fastest midrange 5G coverage, T-Mobile maintains a healthy lead on the competition -- especially when it comes to overall network speeds across both 4G/LTE and 5G.

That’s the word from Ookla’s H1 U.S. Connectivity Report published today. While the latest scores show that Verizon and AT&T have made considerable strides in 5G performance, they still have a long way to go before they can match T-Mobile’s lead -- and there’s an even greater gap when it comes to overall network performance.
T-Mobile’s massive 5G footprint matters

Read more
T-Mobile just made its 5G Home Internet plan cheaper; here’s the new price
Cell phone tower shooting off pink beams with a 5G logo next to it.

T-Mobile, the nation's third-largest carrier, recently dropped the price of its home internet plan. The company is also offering a prepaid Mastercard for customers who sign up for the service.

As reported by CNET, the T-Mobile Home Internet plan is decreasing in price from $60 to $50 per month. This new rate includes a $5 monthly discount for enrolling in automatic payments. Customers can save up to $20 monthly when bundling the service with the company's Go5G Next, Go5G Plus, or Magenta Max phone plans.

Read more