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Sprint: Purchase of T-Mobile Promotes Competition

posted by LaminatorX on Tuesday March 11 2014, @03:07PM   Printer-friendly
from the Opposite-Day dept.

youngatheart writes:

"When does merging two companies make for more marketplace competition? When they aren't big enough to compete with the other giants in the industry. At least that's the logic behind the argument that Sprint should be allowed to acquire T-Mobile. I'm wondering what this means for MetroPCS users like me now that we're T-Mobile users by the previous merger."

 
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  • (Score: 3, Interesting) by MrGuy on Tuesday March 11 2014, @03:22PM

    by MrGuy (1007) on Tuesday March 11 2014, @03:22PM (#14787)

    "Yeah, we know this is bad for customers, but we want you to let us do it anyways?"

    The argument that consolidation can lead to more effective competition isn't novel. It's not impossible that they're RIGHT on this one. We'd likely be better off with three viable carriers than two viable carriers and two entities that can't compete, IF they truly can't compete. But I'd hardly just accept the word of one of the parties to the deal as proof that that's the situation.

    A consensus of industry analysts or economists who cover the telecom industry would go a lot further with me than the word of the CEO of one of the firms in question...

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  • (Score: 3, Insightful) by GeminiDomino on Tuesday March 11 2014, @03:33PM

    by GeminiDomino (661) on Tuesday March 11 2014, @03:33PM (#14798)

    We'd likely be better off with three viable carriers than two viable carriers and two entities that can't compete, IF they truly can't compete.

    And then there's the cynical angle: even if they ARE telling the truth and they "can't compete," it doesn't necessarily follow that if allowed to go ahead that they will compete. I think it's more likely that they hope to be big enough to be able to throw their weight behind the same abusive shit AT&T and Verizon are pulling^Wdefined by.

    --
    "We've been attacked by the intelligent, educated segment of our culture"