Justice Department clears T-Mobile-Sprint mega-merger against competition criticisms

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Justice Department antitrust chief Makan Delrahim is breaking with a precedent set by the Obama administration.

The Justice Department gave a green light on Friday to the $26 billion merger of T-Mobile and Sprint, in a decision critics say will lead to higher prices for wireless customers — while raising questions about the Trump administration's commitment to antitrust enforcement.

In allowing T-Mobile to proceed with the acquisition, Justice Department antitrust chief Makan Delrahim is breaking with a precedent set by the Obama administration, which resisted tie-ups among the nation’s biggest wireless companies. The federal approval is a big win for T-Mobile CEO John Legere, who has argued for more than a year that the deal will help the Trump administration win the race against China to super-fast 5G wireless. Despite Legere's earlier history of trading insults with Trump, he repeatedly stayed at the Trump International Hotel in Washington during the regulatory review of the Sprint merger.

Under the terms of the agreement, DISH will buy two of Sprint's prepaid wireless businesses, Boost Mobile and Virgin Mobile, as well as 400 retail stores and a swath of airwaves to be used in building a nationwide network.

 

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