DOJ Reviewing T-Mobile/Sprint, Delrahim Says; Opponents Brief Hill Aides
The DOJ Antitrust Division is “working as fast as we can” on reviewing T-Mobile's proposed buy of Sprint, which will “end when it ends,” division head Makan Delrahim said Tuesday during the State of the Net conference. Rep. Bonnie Watson Coleman, D-N.J., Free Press and other groups opposed to T-Mobile/Sprint, meanwhile, briefed congressional aides. The House Communications Subcommittee and House Judiciary Antitrust Subcommittee set a Feb. 13 hearing (see 1901280051).
Sign up for a free preview to unlock the rest of this article
Timely, relevant coverage of court proceedings and agency rulings involving tariffs, classification, valuation, origin and antidumping and countervailing duties. Each day, Trade Law Daily subscribers receive a daily headline email, in-depth PDF edition and access to all relevant documents via our trade law source document library and website.
DOJ continued its review during the recently concluded government shutdown (see 1901280044), while the FCC has “more strict guidelines for their review” of deals, Delrahim said. The closure was seen as an effective pause in FCC scrutiny (see 1901160037). Delrahim declined to reveal the DOJ's current thought process for reviewing the takeover. “You want as many competitors in a marketplace as possible,” but that doesn't mean Justice views deals that would reduce the number of competitors as an automatic problem, he said.
Neither House Communications Chairman Mike Doyle, D-Pa., nor House Antitrust Chairman David Cicilline, D-R.I., addressed the coming T-Mobile/Sprint hearing at the conference (see 1901290032).
Coleman urged Hill aides during the Free Press-led briefing to get lawmakers to do vigorous oversight on the merger. “We need to hear what this proposal to consolidate two entities that particularly focus and provide service for black and brown and poor people” means for those communities, Coleman said. Mergers tend to “reduce our choices, increase our costs and make things less available.” The issue is important for telecom and internet service since “everybody needs access to the internet,” she said. “This is access that's necessary for your well-being.”
T-Mobile CEO John Legere, set to testify at the Feb. 13 hearing, welcomed the opportunity. “I am looking forward to sharing the benefits of” the combination at the hearing, he tweeted Monday: “It’s a great opportunity to explain why it’s good for consumers, good for competition and good for the country.”
The 4Competition Coalition, which opposes the deal, lauded the hearing. “In the nine months since the proposed transaction was first announced, the evidence submitted in the public record clearly demonstrates that this merger will hurt consumers, competition, and jobs,” it said in a statement.