AT&T to Oppose Sprint-Clearwire Merger


Source: Dow Jones
Author: Fawn Johnson
AT&T TO OPPOSE SPRINT-CLEARWIRE MERGER

AT&T, which has the largest wireless subscriber base in the country, is asking the Federal Communications Commission to deny a merger request from Sprint Nextel and Clearwire. Sprint and Clearwire announced their intention to merge last month, saying the venture would facilitate a national wireless Internet network that would operate on a block of airwaves partly reserved for schools, cities and other nonprofits. AT&T said Sprint and Clearwire "openly state that they intend to compete with other national wireless providers - including AT&T - yet they fail to make the required showings necessary for the commission's review." In listing their holdings, AT&T said Sprint and Clearwire have discounted some of the airwaves they intend to use for the Internet service because it isn't operational yet. If those airwaves were to be taken into account, the proposed merger would be subjected to heightened scrutiny, AT&T said. AT&T argued that when it acquired Dobson Communications last year, the FCC examined airwaves that AT&T hasn't yet accessed. AT&T purchased a block of spectrum in a recent auction that won't be available until February.

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