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Home - FCC request could open new possibilities in AT&T/T-Mobile USA deal
Wireless

FCC request could open new possibilities in AT&T/T-Mobile USA deal

by Dan Meyer May 31, 2011
written by Dan Meyer May 31, 2011 Share
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I know we are still at least six months away from a likely decision, but the Federal Communications Commission’s request last week for more information from AT&T and Deutsche Telekom in regards to the $39 billion sale of T-Mobile USA does seem to add some tension to the proceedings.

Sure, the request could be just what it seems to be on the surface: A request for additional information to help the FCC make its decision on the proposed deal. Never hurts to have all the facts in front of you when making such a decision.

Or, it could be that the FCC is looking to placate those looking to block the deal outright by showing that it’s indeed moving forward with a thorough investigation into the matter that will help bolster an eventual approval.

My secret hope (which is really not much of a secret anymore) is that the move shows the FCC is perhaps not in the mood to approve yet another consolidation claim and is lining up all of it facts before rejecting the proposed deal.

Why am I secretly hoping for that? Well, it has nothing to do with my feelings towards the parties involved or really about claims that the deal will hinder competition in the market. I really want the deal to fall through so we can see what happens when AT&T is forced to write a check, sign a 3G roaming agreement and hand over a boatload of 1.7/2.1 GHz spectrum to T-Mobile USA.

Cash is always sweet. A 3G roaming agreement could benefit T-Mobile USA’s operations, especially as AT&T Mobility continues to bolster its 3G network as a foundation for its eventual LTE offering. And, spectrum is always something that is nice to have. Especially spectrum that T-Mobile USA could use to further bolster its HSPA+ plans as well as taking away assets that AT&T Mobility was looking at using for its LTE network.

I know there is still a long time to go, and recent history has shown that the FCC is somewhat averse to signing off on consolidation, but a man can dream can’t he?

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