FCC approves T-Mobile-Sprint merger as consumer impact remains unclear

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The impact on consumers remains uncertain.

Edward C. BaigTexas is joining more than a dozen states suing to stop T-Mobile’s $26.5 billion takeover of rival cellphone company Sprint, arguing that the deal is bad for consumers because it would reduce competition.The T-Mobile-Sprint merger cleared a major regulatory hurdle Wednesday when the Federal Communications Commission formally voted to approve the deal to combine the nation’s No. 3 and No. 4 wireless carriers.

The Justice Department had given its own green light to the $26-billion deal over the summer, leading Sprint to sell its Boost Mobile prepaid carrier unit to Dish, among other concessions. T-Mobile and Sprint have long claimed otherwise and previously committed to not raise prices for three years. Sprint has also suggested in regulatory filings that, absent merger approval, its very long-term viability is in question.In voicing her opposition to the deal, Democratic Commissioner Jessica Rosenworcel said in a statement: “We’ve all seen what happens when markets become more concentrated after a merger like this one.

 

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