mergers Archives

All Talk No Action

By Econ70 | 09/07/2011

The DOJ’s decision to block AT&T’s takeover of T-Mobile is good policy because the loss of T-Mobile would have probably raised prices and reduced handset offerings. But, the win will be phyrric if T-Mobile cannot sell itself soon as it’s German parent has said that it will not invest more to keep it competitive. As…

Watch Your Minutes!

By Econ70 | 03/21/2011

AT&T to buy T-mobile USA for $39bn from Deutsche Telekom creating the 2nd largest wireless carrier with 120m subscribers. These giant mergers occur in mature industries as the only way to get new customers is to buy them & the only easy way to save money is to eliminate back office operations, redundant towers etc……