News Focus
News Focus
Followers 4
Posts 804
Boards Moderated 0
Alias Born 03/08/2010

Re: None

Thursday, 04/21/2011 9:29:57 PM

Thursday, April 21, 2011 9:29:57 PM

Post# of 60939
WASHINGTON— AT&T is telling federal
regulators that its proposed $39 billion
purchase of T-Mobile USA would lead to fewer
dropped and blocked calls and faster mobile
Internet connections for subscribers, and
would bring wireless broadband service to
nearly all corners of the country.

In paperwork filed with the Federal
Communications Commission Thursday,
AT&T argues that the acquisition would enable
the companies to make far more efficient use
of the critical airwaves they need to handle
mobile apps, streaming video and other
bandwidth-hungry online services by letting
them combine their limited wireless spectrum
holdings.

AT&T warns that it is running out of airwaves
as sophisticated new mobile devices, such as
the Apple iPhone and iPad, put enormous
strain on its network. That has degraded s
ervice quality, particularly in dense
metropolitan areas. AT&T, which until recently
was the only U.S. carrier offering the iPhone,
says its mobile data traffic surged 8,000
percent between 2007 and 2010.





"AT&T faces network spectrum and capacity
constraints more severe than those of any
other wireless provider, and this merger
provides by far the surest, fastest, and most
efficient solution to that challenge," the
company said in its filing.

Its plan is to integrate a significant portion of
T-Mobile's cell sites into the AT&T network,
which will increase cell density and double the
amount of network traffic that can be handled
using the two carriers' existing airwaves.

T-Mobile subscribers will also benefit from the
deal since T-Mobile, too, is bumping up
against capacity constraints in key markets,
AT&T said.

AT&T's filing with the FCC comes one month





advertisement





advertisement










AT&T: T-Mobile deal would improve wireless service
Fewer dropped calls, faster mobile Internet would be benefits, carrier says after the company announced plans to acquire
T-Mobile USA from Germany's Deutsche
Telekom AG for $39 billion in cash and stock.
The FCC and the Justice Department are
expected to spend at least a year reviewing the
deal.

AT&T's argument that the acquisition will
position it to make more efficient use of
existing airwaves is likely to strike a chord
with federal regulators. FCC Chairman Julius
Genachowski has been warning of a "looming
spectrum crisis" as more Americans go online
using smartphones, tablet computers and
other handheld devices. Both the FCC and the
Obama administration are exploring ways to
free up more airwaves for wireless broadband
services.

In its filing, AT&T also took aim at another top
priority of both the FCC and the Obama
administration: ensuring that all Americans —
including those living in rural areas — have a
ccess to high-speed Internet connections.
AT&T said the purchase of T-Mobile would
enable it to cover more than 97 percent of the
U.S. population with its new high-speed,
fourth-generation wireless service. That's a
slight increase from its original pledge to cover
95 percent of the nation's population after the
acquisition is complete.

http://www.msnbc.msn.com/id/42709706/ns/technology_and_science-wireless/

Discover What Traders Are Watching

Explore small cap ideas before they hit the headlines.

Join Today