T-Mobile Asks FCC to Block Verizon's Spectrum Deals with Comcast, Time Warner

Wed Feb 22, 2012 3:05pm EST

The federal government wouldn’t let AT&T acquire T-Mobile -- now T-Mobile wants the feds to intervene in another mega-deal.

T-Mobile, a subsidiary of Deustche Telekom, delivered a filing to the Federal Communications Commission late Tuesday asking that it stop Verizon’s proposed acquisition of spectrum from a series of cable companies, including Comcast, Time Warner and Cox. Verizon would pay close to $4 billion for the spectrum.

AT&T’s pursuit of T-Mobile was also largely about spectrum, which permits companies to enhance and expand their networks.

Also Read: FCC: Dismiss Verizon, MetroPCS Net Neutrality Challenges

T-Mobile, the country’s fourth largest wireless service provider, claims that Verizon, the biggest, already has more than enough spectrum. Permitting the company to acquire more would put the rest of the telecommunications industry at a disadvantage, it argues.

"We believe the spectrum purchase is in the public interest, addressing consumer needs, and putting spectrum to work to meet growing demand for 4G services," countered Verizon's Edward McFadden, vice president of policy communications. "The transfer is in line with goals in the FCC’s National Broadband Plan, as well as its views on using secondary market transactions such as this one to ensure that existing spectrum is used by providers who can use it efficiently.

Verizon announced the deal with Time Warner Comcast and Bright House Networks in December and then announced a separate deal with Fox.

MetroPCS, the fifth largest company, also has come out against the deal, as have several public-interest groups."

Related Articles:  FCC: Dismiss Verizon, MetroPCS Net Neutrality Challenges AT&T Kills $39B T-Mobile Bid

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