Some Grassroots Filers Say FCC Should Reject AT&T/T-Mobile
The FCC is starting to get some “grassroots” push back against AT&T’s proposed acquisition of T-Mobile, with several dozen consumers filing short statements in recent days. Heavyweights opposed to the deal are expected to weigh in later this month, based on the comment cycle established last week by the FCC. Petitions to deny are due May 31.
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"I feel that this merger would create a de facto GSM monopoly,” wrote Trevor Payne of Baton Rouge. “This merger would have substantial ramifications for customers using CDMA coverage as well, as the reduced competition is likely to create an increase in prices as the lowest priced competitor (currently T-Mobile in many markets) would no longer exist."
"The merger of these two companies would consolidate the two largest companies offering GSM cellular service, resulting in an entity that single-handedly controls GSM service in the United States,” said Thomas Joseph of New York City. Earl Wells of Ottumwa, Iowa, wrote: “Americans who need to have a GSM connection would be left at the mercy of this huge conglomerate, for everything from prices to device availability.”
Robert Heltzel of Niles, Ohio, said the FCC should learn lessons from the past. “We are allowing history to repeat itself by permitting a company that previously monopolized an entire industry, AT&T, to re-assume its titanic grip on the cellular industry once again,” he wrote. “The events of the 90’s that saw the breaking up of AT&T created a healthier market for the cellphone industry where competition was able to flourish and new products became more affordable."
Several of the filings asked the FCC to require AT&T to unlock its handsets if the merger is approved. Such filings are typical in high-profile proceedings like AT&T/T-Mobile, said one longtime nonprofit group official. “The commission must make its decision based on the facts in the record,” the official said. “However, as a practical matter, the commission’s evaluation of certain facts, such as whether people care about choice in handsets, can be influenced by public reaction.”
"After we found out about the merger people started writing us spontaneously,” said Public Knowledge spokesman Art Brodsky. “There’s just a whole lot of unrest out there.” AT&T had no comment Friday.
"In the past, it would have been unusual to see submissions from consumers, or anyone else, filed at this early date,” said Free State Foundation President Randolph May. “But now, especially with e-filing, it is much easier for consumers to dash off comments, and I think we'll see them come in throughout the merger review process.” He said there’s nothing wrong with that, but he objects to mass comment campaigns generated by interest groups.