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AT&T and T-Mobile Merger Challenged by DOJ by Jack Rogers
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AT&T and T-Mobile Merger Challenged by DOJ |
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Health,Science & Technology,Online Shopping
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AT&T and T-Mobile have been in talks about merging for some time now, but only recently has news come out that there is a $39 billion merger in the works. Currently, AT&T has 98 million users and it growing as the popularity of the iPhone grows along with newer Android phones. T-Mobile does not have quite the same number of customers, but at 34 million it comes in as the 4th largest provider in the United States. If the two companies were to merge, then it would basically leave three big competitors, which would include AT&T, Verizon, and Sprint. Realistically, it would be only two because Sprint over the past few years has been experiencing many challenges. These challenges would explain the large number of customers it lost to its competition. The United States Department of Justice has filed an anti-trust suit against AT&T over the notion that the merger will negatively affect the mobile carrier market. The Justice Department has stated that the merger would result in the two companies (AT&T and Verizon) to hold about 78% of the market. Having this much pull over the market may leave customers with higher prices, fewer choices, and lower quality products for wireless services. AT&T has commented that they strongly disagree with the suit, and will seeking a legal team to fight the claims. AT&T also has claimed that the merger could create up to 5000 new jobs in the United States. The possible merger between AT&T and T-Mobile has left some people with some concerns and questions. Both companies have been working closely with various industries for new applications for smart phones. Would the merger put these upcoming applications on the chopping block? The answer to this is absolutely no, because the idea behind the merger is to form a broader company to combat the success of Apple and its iPhone market share. One example of an application involves the pulse oximeter. A pulse oximeter, also known as a pulse ox, is a medical device used to measure blood oxygen saturation and pulse rate of an individual. An application in the works would integrate with a pulse oximeter and gather readings over an interval of time. These recorded readings would then be able to be uploaded to a computer or sent to a doctor for further study. It appears that the merger has a long road ahead. The FCC has also made claims of an investigation as well.
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