SUBSCRIBE TO OUR FREE NEWSLETTER
Daily news & progressive opinion—funded by the people, not the corporations—delivered straight to your inbox.
5
#000000
#FFFFFF
5
#000000
#FFFFFF
AT&T Accidentally Tells Truth, Shoots Self in Foot
Free Press and other opponents of the AT&T-T-Mobile merger had reason to cheer last week when a damning document AT&T filed with the FCC was accidentally posted on a public site.
Aug 17, 2011
Free Press and other opponents of the AT&T-T-Mobile merger had reason to cheer last week when a damning document AT&T filed with the FCC was accidentally posted on a public site. The partially redacted letter, which appeared on the FCC website for several hours on Thursday before it was yanked down, punctures a hole in AT&T's central pro-merger argument -- namely that only purchasing T-Mobile would allow it to expand its 4G LTE wireless data network to 97 percent of the population.
Turns out AT&T had considered expanding its network on its own but balked at the $3.8 billion price tag. "AT&T senior management concluded that, unless AT&T could find a way to expand its LTE footprint on a significantly more cost-effective basis, an LTE deployment to 80 percent of the U.S. population was the most that could be justified," AT&T counsel Richard Rosen wrote in the letter. So AT&T concluded that it made better strategic sense to pony up $39 billion to purchase T-Mobile.
The logic makes perfect sense if your ultimate aim is to effectively bludgeon wireless competition. If the deal goes through AT&T's primary rival, Verizon, will fall a distant second to AT&T in the wireless arena, and collectively the two will control 80 percent of that market. Can AT&T still pretend it had nobler intentions?
Yes, it can.
"There is no real news here," said AT&T spokeswoman Margaret Boles in a statement released in the wake of the leak. "The confidential information in the latest letter is fully consistent with AT&T's prior filings. It demonstrates the significance of our commitment to build out 4G LTE mobile broadband to 97 percent of the population following our merger with T-Mobile. Without this merger, AT&T could not make this expanded commitment."
Yes, it could, Margaret. It just doesn't want to. AT&T has long pinched pennies when it comes to providing adequate and comprehensive wireless service but has no problem unlocking its bank account if the end result is total market domination.
As Free Press has reported since the merger's announcement, it's not just wireless carriers who will get squashed if the merger goes through. As many as 20,000 workers -- likely drawn from T-Mobile's workforce -- stand to get the boot as a result of the deal. And let's not forget ordinary consumers. Less choice translates into a power dynamic in which AT&T -- and Verizon -- can dictate whatever rates or terms it wishes for customers who don't have other options to turn to. Unless, that is, you count hooking up two Dixie cups to string and bellowing communications to your neighbor.
An Urgent Message From Our Co-Founder
Dear Common Dreams reader, The U.S. is on a fast track to authoritarianism like nothing I've ever seen. Meanwhile, corporate news outlets are utterly capitulating to Trump, twisting their coverage to avoid drawing his ire while lining up to stuff cash in his pockets. That's why I believe that Common Dreams is doing the best and most consequential reporting that we've ever done. Our small but mighty team is a progressive reporting powerhouse, covering the news every day that the corporate media never will. Our mission has always been simple: To inform. To inspire. And to ignite change for the common good. Now here's the key piece that I want all our readers to understand: None of this would be possible without your financial support. That's not just some fundraising cliche. It's the absolute and literal truth. We don't accept corporate advertising and never will. We don't have a paywall because we don't think people should be blocked from critical news based on their ability to pay. Everything we do is funded by the donations of readers like you. Will you donate now to help power the nonprofit, independent reporting of Common Dreams? Thank you for being a vital member of our community. Together, we can keep independent journalism alive when it’s needed most. - Craig Brown, Co-founder |
Amy Kroin
Amy Kroin is the editor at Free Press and Free Press Action. She is co-author, with Mike Rispoli and Kevin Davis, of the case study New Jersey's Civic Information Bill: The Story of the Campaign to Transform Local Media.
Free Press and other opponents of the AT&T-T-Mobile merger had reason to cheer last week when a damning document AT&T filed with the FCC was accidentally posted on a public site. The partially redacted letter, which appeared on the FCC website for several hours on Thursday before it was yanked down, punctures a hole in AT&T's central pro-merger argument -- namely that only purchasing T-Mobile would allow it to expand its 4G LTE wireless data network to 97 percent of the population.
Turns out AT&T had considered expanding its network on its own but balked at the $3.8 billion price tag. "AT&T senior management concluded that, unless AT&T could find a way to expand its LTE footprint on a significantly more cost-effective basis, an LTE deployment to 80 percent of the U.S. population was the most that could be justified," AT&T counsel Richard Rosen wrote in the letter. So AT&T concluded that it made better strategic sense to pony up $39 billion to purchase T-Mobile.
The logic makes perfect sense if your ultimate aim is to effectively bludgeon wireless competition. If the deal goes through AT&T's primary rival, Verizon, will fall a distant second to AT&T in the wireless arena, and collectively the two will control 80 percent of that market. Can AT&T still pretend it had nobler intentions?
Yes, it can.
"There is no real news here," said AT&T spokeswoman Margaret Boles in a statement released in the wake of the leak. "The confidential information in the latest letter is fully consistent with AT&T's prior filings. It demonstrates the significance of our commitment to build out 4G LTE mobile broadband to 97 percent of the population following our merger with T-Mobile. Without this merger, AT&T could not make this expanded commitment."
Yes, it could, Margaret. It just doesn't want to. AT&T has long pinched pennies when it comes to providing adequate and comprehensive wireless service but has no problem unlocking its bank account if the end result is total market domination.
As Free Press has reported since the merger's announcement, it's not just wireless carriers who will get squashed if the merger goes through. As many as 20,000 workers -- likely drawn from T-Mobile's workforce -- stand to get the boot as a result of the deal. And let's not forget ordinary consumers. Less choice translates into a power dynamic in which AT&T -- and Verizon -- can dictate whatever rates or terms it wishes for customers who don't have other options to turn to. Unless, that is, you count hooking up two Dixie cups to string and bellowing communications to your neighbor.
Amy Kroin
Amy Kroin is the editor at Free Press and Free Press Action. She is co-author, with Mike Rispoli and Kevin Davis, of the case study New Jersey's Civic Information Bill: The Story of the Campaign to Transform Local Media.
Free Press and other opponents of the AT&T-T-Mobile merger had reason to cheer last week when a damning document AT&T filed with the FCC was accidentally posted on a public site. The partially redacted letter, which appeared on the FCC website for several hours on Thursday before it was yanked down, punctures a hole in AT&T's central pro-merger argument -- namely that only purchasing T-Mobile would allow it to expand its 4G LTE wireless data network to 97 percent of the population.
Turns out AT&T had considered expanding its network on its own but balked at the $3.8 billion price tag. "AT&T senior management concluded that, unless AT&T could find a way to expand its LTE footprint on a significantly more cost-effective basis, an LTE deployment to 80 percent of the U.S. population was the most that could be justified," AT&T counsel Richard Rosen wrote in the letter. So AT&T concluded that it made better strategic sense to pony up $39 billion to purchase T-Mobile.
The logic makes perfect sense if your ultimate aim is to effectively bludgeon wireless competition. If the deal goes through AT&T's primary rival, Verizon, will fall a distant second to AT&T in the wireless arena, and collectively the two will control 80 percent of that market. Can AT&T still pretend it had nobler intentions?
Yes, it can.
"There is no real news here," said AT&T spokeswoman Margaret Boles in a statement released in the wake of the leak. "The confidential information in the latest letter is fully consistent with AT&T's prior filings. It demonstrates the significance of our commitment to build out 4G LTE mobile broadband to 97 percent of the population following our merger with T-Mobile. Without this merger, AT&T could not make this expanded commitment."
Yes, it could, Margaret. It just doesn't want to. AT&T has long pinched pennies when it comes to providing adequate and comprehensive wireless service but has no problem unlocking its bank account if the end result is total market domination.
As Free Press has reported since the merger's announcement, it's not just wireless carriers who will get squashed if the merger goes through. As many as 20,000 workers -- likely drawn from T-Mobile's workforce -- stand to get the boot as a result of the deal. And let's not forget ordinary consumers. Less choice translates into a power dynamic in which AT&T -- and Verizon -- can dictate whatever rates or terms it wishes for customers who don't have other options to turn to. Unless, that is, you count hooking up two Dixie cups to string and bellowing communications to your neighbor.
We've had enough. The 1% own and operate the corporate media. They are doing everything they can to defend the status quo, squash dissent and protect the wealthy and the powerful. The Common Dreams media model is different. We cover the news that matters to the 99%. Our mission? To inform. To inspire. To ignite change for the common good. How? Nonprofit. Independent. Reader-supported. Free to read. Free to republish. Free to share. With no advertising. No paywalls. No selling of your data. Thousands of small donations fund our newsroom and allow us to continue publishing. Can you chip in? We can't do it without you. Thank you.