New York Attorney General Letitia James stated that New York will not appeal the judge’s decision to clear the way for the T-Mobile/Sprint merger. The multi-state lawsuit argued that the merger would lead to higher prices, reduced competition and harm to consumers. However, with the DoJ and FCC’s approval, after T-Mobile divested some assets to Dish to create a replacement fourth mobile carrier, the judge declined to halt the merger.
New York and California led a group of 14 attorney generals who sued to stop the $26.5 billion deal, which would merge the third- and fourth-largest U.S. wireless carriers. Over time, states, such as Colorado, Texas, and Nevada dropped from the suit after settling with the companies. The settlements often included securing assurances that the 5G network would benefit the state and the same or lower prices.
New York will not proceed with an appeal. “Instead, we hope to work with all the parties to ensure that consumers get the best pricing and service possible, that networks are built out throughout our state, and that good-paying jobs are created in New York,” Attorney General James said.
AG James’ latest statement differs from her claims at the beginning of the suit. She previously stated, “[f]rom the start, this merger has been about massive corporate profits over all else, and despite the companies’ false claims, this deal will endanger wireless subscribers where it hurts most: their wallets.”
John Legere, T-Mobile Chief Executive Officer, called the court’s decision a “huge victory…Now we are finally able to focus on the last steps to get this merger done.” Marcelo Claure, Executive Chairman of Sprint, stated that the court’s decision, “validates our view that this merger is in the best interests of the U.S. economy and American consumers.”
James said that the new T-Mobile has committed to making jobs in Rochester and will participate in national diversity initiatives. “After a thorough analysis, New York has decided not to move forward with an appeal in this case. We are gratified that this process has yielded commitments from T-Mobile to create jobs in Rochester and engage in robust national diversity initiatives that will connect our communities with good jobs and technology. We are committed to continuing to fight for affordability and access for all of New York’s mobile customers.” Attorney General James said. Other states in the suit, such as California, Connecticut, and Massachusetts, are considering appealing the decision.
