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Tuesday, March 12, 2013
FCC Approves T-Mobile USA, MetroPCS Merger

The U.S. Federal Communications Commission approved Deutsche Telekom's proposal to combine its T-Mobile USA unit with MetroPCS Communications Inc.

"With today's approval, America?s mobile market continues to strengthen, moving toward robust competition and revitalized competitors. We are seeing billions more in network investment, while the courts have upheld key FCC decisions to accelerate broadband build-out, promote competition, and benefit consumers, including our broadband data roaming and pole attachment rules. Today?s action will bbenefit millions of American consumers and help the U.S maintain the global leadership in mobile it has regained in recent years," FCC Chairman Julius Genachowski said in a statement.

The FCC found that the proposed transaction was not likely to result generally in competitive or other public interest harms. The FCC added any possible competitive harms in selected geographic areas would be outweighed by certain public interest benefits likely to result from the proposed transaction. Such benefits include the facilitation of Long Term Evolution deployment, the expansion of the MetroPCS brand into new geographical markets, the development of a more robust, national network, improved quality of service, and the strengthening of the fourth largest nationwide service provider's ability to compete in the mobile broadband services market.

The Department of Justice's Antitrust Division also today determined that the combination of T-Mobile and MetroPCS is unlikely to harm consumers or substantially lessen competition and has closed its investigation.

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