On Sunday New York abandoned its fight against T-Mobile’s $59bn takeover of Sprint – deciding not to appeal the decision to allow the two companies to marry, after two years of limbo. The New T-Mobile promises US ‘broad and deep 5G network’.
“New York has decided not to move forward with an appeal in this case,” State Attorney General, Letitia James, said in a statement on Sunday. “Instead, we hope to work with all the parties to ensure that consumers get the best pricing and service possible, that networks are built out throughout our state, and that good-paying jobs are created here in New York,” she continued.
Merger gains speed
Last week, a US federal judge has cleared T-Mobile’s acquisition of Sprint and put no conditions on the merger. The decision to allow the takeover took two years to reach final approval, due to multiple Democratic-led states suing to block the deal – they argued it was anti-competitive and would cause customers to pay more for its services, including how much would be paid for 5G phones.
“We want to thank the Court for its thorough review of the facts we presented in our case. We’ve said it all along: the New T-Mobile will be a supercharged Un-carrier that is great for consumers and great for competition," said John Léger, Chief Executive Officer of T-Mobile, last week. "The broad and deep 5G network that only our combined companies will be able to bring to life is going to change wireless … and beyond.”
It’s always a party 🎉 when we bring #TeamMagenta together!! Who’s still pumped about the BIG WIN this week!?! pic.twitter.com/L5xjHEgcCtFebruary 15, 2020
When the final court ruling was announced, appeals were anticipated. However, with New York deciding not to appeal the merger, it is closer than ever to becoming a reality.
New jobs across US
"The process has yielded commitments from T-Mobile to create jobs in Rochester and engage in robust national diversity initiatives that will connect our communities with good jobs and technology,”New York’s James said in her statement.
Along the same lines, other states have also stopped appealing the merger due to promised jobs. Mississippi and Colorado have both dropped their opposition to the merger after striking agreements with T-Mobile and Dish (who will buy the assets divested from the merger).
In Colorado’s case, Dish promised to bring 2,000 jobs to the state and T-Mobile agreed to deploy 5G Internet across much of the state.