Congressional Members Ask President Obama To Settle AT&T/T-Mobile DOJ Lawsuit

Fifteen House of Representative Democrat members led by Rep. Heath Shuler from North Carolina have written a letter to President Obama urging him to settle the Department of Justice lawsuit filed against the AT&T/T-Mobile takeover.

“By settling the proposed merger of AT&T and T-Mobile USA, we can put thousands of Americans back to work and promote economic development across the country,” Shuler said. I urge the president to strongly consider the vast benefits this merger will have on job creation and the economy, and quickly resolve any concerns the administration may have with the proposal.”

These fifteen representatives believe that the merger is good for the country, will create jobs and spur the buildout of a nationwide broadband network. The Department of Justice could withdraw its lawsuit if AT&T agrees to divestitures, pricing guarantees or other conditions.

“We recognize that the Department of Justice has intervened in the merger to ensure competitive markets and protect consumers,” wrote lawmakers including Reps. Loretta Sanchez (D-Calif.), Joe Baca (D-Calif.), John Barrow (D-Ga.) and Dan Boren (D-Okla.). “Addressing these concerns through a settlement agreement that ensures robust competition while preserving the job creation, capital infrastructure investment and wireless broadband deployment benefits of the merger should be the Department’s goal.”

While a leaked letter acknowledged that AT&T could build out a nationwide 4G network for less than 1/10th of their buying price for T-Mobile, AT&T has said it will not build out a nationwide network without T-Mobile spectrum. The revelation that it would only cost AT&T $3.8 billion to build out their network is a primary reason for blocking the merger according to consumer advocates arguing that the deal is bad for the industry and consumers.

TheHill

Sprint was quick to respond with their own statement:

“Make no mistake, AT&T’s proposed takeover of T-Mobile will eliminate tens of thousand of jobs across the country.

The flawed economic study embraced by AT&T and its union ignores what Wall Street investors and the Federal Government have been already been promised: that the overall investment for the combined companies will be substantially reduced if the proposed transaction closes.

At the moment, this matter is before the Courts, not Congress, and we are confident that the Department of Justice decision to prosecute this unlawful transaction is the right one for consumers, for competition, and for the economy as a whole.”

 

Full Text of Letter To President Obama:

September 15, 2011

The Honorable Barack Obama

President of the United States

The White House

Washington, D.C. 20500

Dear Mr. President:

On September 8th, you came before a Joint Session of Congress and asked us to focus our efforts on solving America’s jobs crisis by working to reduce unemployment, encourage private investment and promote new and innovative technologies that will drive job creation. We agree wholeheartedly, and both the Congress and the Administration should take action immediately to battle our country’s severe economic crisis.

One opportunity rests squarely before you with the proposed transaction between AT&T and T-Mobile USA. We urge the Administration to resolve expeditiously your concerns and approve the proposed merger between AT&T and T-Mobile USA. The current merger proposal embraces the three job creation strategies you have already highlighted.

First, the merger will reduce unemployment.  AT&T has announced plans to repatriate 5,000 jobs that are currently being performed overseas.  In addition to these 5,000 jobs, a recent study (SITE) has shown that the merger will create somewhere between 55,000 and 96,000 new jobs to integrate the two networks and upgrade facilities.

Secondly, the merger will engender new private investment to deploy wireless high speed Internet access services to 97% of the U.S. population.  Coverage of this magnitude will necessitate an additional $8 billion investment from AT&T over and above its current industry leading capital investments.

You recognized the economic importance of these services in your “State of the Union” address to the nation last January, when you said “within the next five years, we’ll make it possible for businesses to deploy the next generation of high-speed wireless coverage to 98% of all Americans.”  The proposed merger will virtually achieve that goal – and do so on a faster timetable than you had proposed and without a single dime of taxpayer money.

Finally, the deployment of next generation, wireless broadband is the type of investment in new and innovative technology that will drive job creation for years to come.  A recent study by Deloitte predicts that next generation wireless broadband buildout by the wireless industry will create 371,000-771,000 jobs and GDP growth between $73 billion and $151 billion by 2016.  AT&T’s proposed merger commitment to make available this new technology to 98% of the nation’s population will be a key component of the industry buildout.

We recognize that the Department of Justice has intervened in the merger to ensure competitive markets and protect consumers.  Addressing these concerns through a settlement agreement that ensures robust competition while preserving the job creation, capital infrastructure investment and wireless broadband deployment benefits of the merger should be the Department’s goal.

We urge you to encourage resolution of this matter in a timely fashion and appreciate your consideration of our concerns.

Sincerely,

Heath Shuler

Member of Congress

Tags: , , , , , ,

  • Njfpolyr6

    IMO, i would suggest US to spend more time concentrating on upgrading the electrical power system across the country and also start building the high speed train system instead of arguing this merger case..  as below ppl said it will not create more jobs.  It will just eliminate the ppl (either AT&T or T-mobile) such as customer service rep, or the tech team…. 

    • n900mixalot

      I wish they’d start with education but you’re right, the focus here is WAY off.

  • Silk7412

    Well I sent the president my letter infroming him of the 43,798 people that have filed at the FCC and most of them don’t want this deal and they VOTE !!

  • Anonymous

    Merger creates jobs, Yeah right. As long as you pay them, politicians will declare their moms are men!

  • Anonymous

    Merger creates jobs, Yeah right. As long as you pay them, politicians will declare their moms are men!

  • Anonymous

    Merger creates jobs, Yeah right. As long as you pay them, politicians will declare their moms are men!

  • Anonymous

    Merger creates jobs, Yeah right. As long as you pay them, politicians will declare their moms are men!

  • BigMixxx

    Quoting numbers between that span 100 percent of the first number, using terms like create, etc, etc, etc. There is no real evidence, except a company will be gone and current jobs will be lost.  

    There is no numbers in this letter to Obama.  However, since it is coming from the Dems to the Dem leader, he will address it.Obama best do what he normally does, push for understanding and help make decision.  This does not bode well for the T mobile and the jobs in America.  WHY must we go tell dad when we can’t settle a problem.The most encouraging thing here is, AT&T wants to avoid divestiture….

    • Ali

      You want a percentage?  15/~250…That is 6-7% of all democrats in the House of Representative (not counting Senate…)

      If need be, I am willing to bet at least 16 Dems will get together and send out a letter to the president.  But, odds are, the President has more important matters to attend to than this..

      • BigMixxx

        I read a announcement at work that read 10 to 150% in cost savings once.  figure the numbers out on 10 to 150%….

        • Ali

          …What?

        • BigMixxx

          I read an email that announced cost savings…10 to 150%.  Those numbers just don’t add up…

        • Ali

          Apparently they give you half the money you would normally pay back to provide this service.

          But, seriously, less than 10% of all Democrat representatives and, even more importantly, less than 5% of all representatives filed this…Probably isn’t as big of a deal as some are making it out to be.

  • BigMixxx

    Quoting numbers between that span 100 percent of the first number, using terms like create, etc, etc, etc. There is no real evidence, except a company will be gone and current jobs will be lost.  

    There is no numbers in this letter to Obama.  However, since it is coming from the Dems to the Dem leader, he will address it.Obama best do what he normally does, push for understanding and help make decision.  This does not bode well for the T mobile and the jobs in America.  WHY must we go tell dad when we can’t settle a problem.The most encouraging thing here is, AT&T wants to avoid divestiture….

  • BigMixxx

    And who is starting the letter writing campaign…

  • BigMixxx

    And who is starting the letter writing campaign…

  • BigMixxx

    And who is starting the letter writing campaign…

  • the_truth

    Wonder what my troll Blake thinks of this. Not political he says.

  • Bowlinglarry52

    How many stores do you think they well close if this goes through. More people well lose jobs than they make

    • Ali

      I’m in Lexington, where we have 5 stores.  I would be shocked if they didn’t close down at least 4 of them, and maybe all 5.  They are building a brand new store next to our biggest (not quite busiest) store, and they have about 5 stores in the city right now.  The only possible exception is a little kiosk as they don’t have one in the mall, but one of their best stores in the nation is right across the street from the mall, so they could even shut down the kiosks.

      And who needs to merge all the T-Mobile workers of 5 stores with all the current workers of their AT&T stores?

    • Ali

      I’m in Lexington, where we have 5 stores.  I would be shocked if they didn’t close down at least 4 of them, and maybe all 5.  They are building a brand new store next to our biggest (not quite busiest) store, and they have about 5 stores in the city right now.  The only possible exception is a little kiosk as they don’t have one in the mall, but one of their best stores in the nation is right across the street from the mall, so they could even shut down the kiosks.

      And who needs to merge all the T-Mobile workers of 5 stores with all the current workers of their AT&T stores?

  • Bowlinglarry52

    How many stores do you think they well close if this goes through. More people well lose jobs than they make

  • http://tmonews.com David

    Stop posting this video in every post.

  • Jays_on

    What would you expect from Democrats?

  • Jays_on

    What would you expect from Democrats?

    • Anonymous

      15 Democrats — behaving like Republicans.

      • Jays_on

        To bad your comment is incoherent. As is most liberal logic, if u can excuse the oxymoron.

      • Jays_on

        To bad your comment is incoherent. As is most liberal logic, if u can excuse the oxymoron.

        • Ali

          Says the guy who cannot put a grammatical phrase together correctly.  If you know anything about politics, it’s ALWAYS been a conservative’s (aka, present day Republican…) outlook to side with Big Business.  I mean, look at history, look at the mottos, including “Big Business is our Business.”

          These guys are probably the 15 most right winged “democrats” out there.  But, please, go on and continue your blind following of Faux News, the Tea Party and that absolute moron of a candidate you’ll likely be voting for in one year’s time in Sarah Palin.

        • n900mixalot

          Thank you for making that distinction. Traditional Conservatives are embarrassed by these Neo-Conservative idiots. Traditional Conservatives want skilled people to run their nursing homes, banks, and to drive their cars–not a bunch of ignorant morons with guns complaining about any and everything that doesn’t make sense to them.

        • n900mixalot

          “Too” not “to”. Your second sentence is trash.

  • Anonymous

    Hey Obama, you want your 2nd term? You want to create jobs and reduce unemployment rate?
    Look no further. Your fellow democrats have invented a new simple solution: merge all the big players in each industry and you’ll automatically get millions of jobs!

  • Frustrated

    September 15, 2011
    The Honorable Barack Obama
    President of the United States
    The White House
    Washington, D.C. 20500
    Dear Mr. President:

    In reference to your letter from Heath Shuler, stating that with the approved AT&T/T-Mobile merger, there would be 5,000 jobs created, I am curious, as to what will happen to the jobs which are currently held by people who currently work for T-Mobile.  Is someone using fuzzy mathematics, and saying that the jobs eliminated by this acquisition, which it is, and not a merger, will simply result in 5,000 more jobs?  I do not understand people who are involved with the AT&T side of things, can logically state this ‘fact’.  With your Joint Session of Congress last week, (8 Sep 2011), and wanting to focus on job creation, I believe it would be prudent to let the Department of Justice, handle this case, and allow the DOJ to block this acquisition, as there has been evidence supplied by AT&T, stating that a LTE network could be built out for around 10% of the purchase price of T-Mobile USA, and also is about eliminating competition form the marketplace.  Further to the statements about covering 97% of the US population, currently there are advertisements on television, from AT&T, stating that they cover 97% of Americans, if this is the case, that they already cover 97% of the population, that makes me question the validity of their claims of going to cover 97% of Americans with this acquisition.  If they already cover 97% of the population, why don’t AT&T actually convert their current towers to LTE capability, and still cover 97% of the US population.  
    With regards to the timetable of deploying LTE to the country, in the evidence supplied to the DOJ, which was quickly removed, it stated that AT&T were considering deploying LTE much sooner than they currently are if given the approval of this acquisition.  I urge you to encourage resolution of this matter in a timely fashion and appreciate your consideration of our concerns.

    Sincerely, a frustrated T-Mobile customer.  

    • tbyrne

      Your letter sums it all up. It’s unfortunate it’ll never see the light of day. This things a Tank that’s gonna run you and everyone else over. Our beloved T-Mobile is dead. Long live T-Mobile!!!!!

      • Frustrated

        Does anyone know how to submit this to Obama, and also, would anyone else be willing to be a signatory on this letter besides myself?

        • n900mixalot

          You’ll have to sign your name, but just send it to him, CC your local representatives, the FCC and the DOJ. It’s really easy to do.

          And hand-write the envelope, and make sure to include your return address. Handwritten envelopes get through faster, and they show a little effort on your part.

        • Anonymous

          Count me in for a signature

    • Anonymous

      It’s true that it will add more jobs under AT&T.  What is not mentioned are the hundreds of thousands of jobs that will be lost for T-Mobile.  All AT&T is playing are number games and tickling the ears by throwing out the whole “jobs” game. 

    • sino8r

      Obama is not a judge, lol! Why are you addressing him as honorable?

      • sino8r

        My bad… the moron congressman put that in the heading… take that part out because its stupid. You are smarter that jackass congressman. That’s like calling the pope, your majesty, lol!

  • TMoFan

    Yeah the so-called “synergies” that are trumpeted by Obermann and Stephenson are all benefits for the customer right? What s sham this whole thing has become. Any notion that this thing will create jobs needs to be attacked by every media outlet out there because just the opposite will happen and the CWA will be left to pick up the crumbs and that will be that. I really hope that the DoJ is sincere with this suit because when at&t/DT is forced to defend this it will fall apart. They have no case at all!

  • Maschwar77

    Block the merger!  It isn’t good for America and it sure isn’t good for competition.  The only thing this merger is good for is the upper echelon of AT&T and Deutsche Telekom.

    • Wilma Flintstone

      Can’t block what isn’t there.  This is a Takeover.  Block the Takeover!!!

    • Wilma Flintstone

      Can’t block what isn’t there.  This is a Takeover.  Block the Takeover!!!

  • JBLmobileG1

    Gee I wonder how much At&t paid those people. Stupid crooks. If the President wants another term and votes he will disapprove this deal. BTW we need jobs in America not in another country At&t.

  • JBLmobileG1

    Gee I wonder how much At&t paid those people. Stupid crooks. If the President wants another term and votes he will disapprove this deal. BTW we need jobs in America not in another country At&t.

  • Anonymous

    Why did they all have to be Democrats? Now Obama will listen to them

    • Silk7412

      I don’t think so. we must remind him. He works for us!!!

    • Ali

      15 out of…close to 250.  Why would Obama listen to 6-7% of all the democrats when the other 93-94% won’t sign it?

      The fact that these Blue Dog Democrats voted for it doesn’t mean squat towards which way the president will/should lean.

  • Guest

    THIS IS SUCH A LOAD OF ********** ” mr president please support the merger so that it can create more jobs ” …. give me a break.
    ALOT of people at t-mobile will get the boot if the merger goes through.

    It sounds almost contradictory to say, if this company buys out this other company, then we are gonna create a lot of jobs … more like departments and offices and retail locations will be merged and tons of people will lose their jobs.

    Its ok to have your own political agenda, but to hide behind the “it’d benefit the working class” is just pathetic.

    • Guest101

      AT&T also claims the merger will promote and increase competition!  Crock of s***!  That doesn’t even make sense!!

  • J. Williams

    good video though

  • MrKing77

    I i was Mr Obama I wouldnt touch this with a 10 foot pole not if he wants to get re elected …..

  • My2Cents

    Gosh Heath Shuler is a bigger bust as a congressmen then he was as an NFL Quarterback!!!!!!!!!!!!!!!

  • Auser72

    The whole political system is broke. As long as the masses of people are divided over petty issue, the top 2-3 % will keep us fighting over the crumbs. I’m sure these congress members will be well compensated by ATT for their efforts.

  • InTheKnow

    The 15 Democrats in the letter are what’s referred to as Blue Dog Democrats or fake Democrats in layman’s terms. They all consistantly vote with Republicans. They are Democrats in name only. They are true conservitive Republicans at heart and always side with big business and the banks while throwing the working class under the bus. Doubt what I’m saying? Then just check their voting records. 

    • Jays_on

      Not sure what you’re talking about. Just checked the record of the first person my eyes fell upon which was John Barrow. His voting record is as liberal as it gets. Using tax payer’s money to pay for abortion? And the list goes on, WITH ALL OF THEM! Get your facts straight. As I said earlier in this thread; “To bad your comment is incoherent. As is most liberal logic, if you can excuse the oxymoron”

      • Bruce Thompson

        You’re an idiot. Tax payer money CANNOT go to abortion. There are laws on the books against it since the late 70′s.

        Stop making up facts.

        • PiCASSiMO

          Where do you think Planned Parenthood’s funding comes from?  Tax payer’s money.  

        • Anonymous

          Indeed. And what’s with the name calling that erupts from the bunch that claim to be the sole proprietors of tolerance and inclusion? What a bunch of crap that turned to be eh? 

          Anyway, I hope the DEAL doesn’t go through.

        • Anonymous

          Bruce, you don’t have a clue at all dude. Of course tax payer money pays for abortions. Do you think all those abortions are being paid for by insurance companies or out of people’s pockets. You should really study more and talk less.

        • Anonymous

          Bruce, you don’t have a clue at all dude. Of course tax payer money pays for abortions. Do you think all those abortions are being paid for by insurance companies or out of people’s pockets. You should really study more and talk less.

      • Jays_on

        Lol, just like a lib to start calling names when their head is in the sand… or clouds, whichever you prefer. The last 2 votes were AGAINST Prohibiting Taxpayer Funding of Abortion and Prohibiting Use of Federal Funds For Planned Parenthood. Again he voted NO, meaning he is in favor of taxes going to abortion.

      • Cameron W3st

        Jay, You’re an idiot.

      • guest

        and look how much AT & T has paid Rep Barrow:

        11AT&T Inc$5,000           $0           $5,000This is not a partisan issue here, Demo or rep, it’s a “money” issue the majority of the people who sent that letter are being paid BY AT & T  IE. this is another “end run” attempt by AT & T

    • Msprinkl

      Heath Shuler a fake democrat????  lol!!!!

  • My2Cents

    8 out of the 15 democrats who signed the letter have AT&T as one of there top campaign contributors.  none of the 15 have Verizon, T-mobile, or Sprint as one of there contributors.  Nice shady special interests politics. 

    • My2Cents

      Oh and Heath Shuler has AT&T as one of his top contributors.

  • BigMixxx

    This is NOT A MERGER.  It is an Acquisition.  Stop calling it a merger.  That term is too soft, and you buy into the term that’s used by AT&T…

    • Frustrated

      Read my post below, about the merger/acquisition comment.  i agree it’s an acquisition, but they are saying the networks will be merged, I doubt that, as there’ll be plenty of towers shut off.  

      • BigMixxx

        Merger implies two companies decided to become one, a la HP and Compaq.  This is clearly an acquisition….

  • Anonymous

    Dear Obama please let this deal go through.  If you do AT&T will see that we fought for them and put more money in our pockets.  I hate lobbyists.  They are one of the top 5 problems in our country.

    • Msprinkl

        You know that the President…any president…has no control over whether something like this goes through.  He has absolutely no power to “let this deal go through.”  All he can do is give his opinion and “encourage” as Shuler requests.

      • Anonymous

        I know, I know.  Why people seem to think that the President is some magical wish granter or can make his own laws always gets me.  It’s not like it’s a bill he can veto.

        • Government Fromage

          I’m going to write to the president and ask that he to makes T-Mobile build a better network, makes them make more money, and makes the millions of customers who’ve left over the last couple years come back.

          He can do that, right?

        • Government Fromage

          I’m going to write to the president and ask that he to makes T-Mobile build a better network, makes them make more money, and makes the millions of customers who’ve left over the last couple years come back.

          He can do that, right?

  • n900mixalot

    Congress continues to pass the buck so that they can blame the President for poor decisions. Lame.

  • David

    On behalf of the entire state of Oklahoma, please allow me to apologize for the Honorable Moron Dan Boren, who has attached his name and that of our state to this idiotic letter and this idiotic action.

  • BP

    There is 0% chance of President Obama signing off on this risky proposal by Rep. Heath Shuler.  With the Solyndra solar company scandal and re-election, the President knows he has to walk a straight line with the Republicans.  This letter is a tactic by AT&T and T-Mobile to show the DOJ that they have support from congress.

    • Jb8von

      Heath Shuler.  Failed as an NFL quarterback. Failing as a congressman.

    • Jb8von

      Heath Shuler.  Failed as an NFL quarterback. Failing as a congressman.

    • BigMixxx

      There is no scandal there.  Bad investment, like the government always makes good investments….despite warnings.  Just a Bad investment.  “As captured by fox news”….LOL

      anywho….No, no chance at all….and congress will not touch this with my aunt’s d*Dk…

      • BP

        LOL!!!!!!!!!!!!

      • BP

        LOL!!!!!!!!!!!!

    • BigMixxx

      There is no scandal there.  Bad investment, like the government always makes good investments….despite warnings.  Just a Bad investment.  “As captured by fox news”….LOL

      anywho….No, no chance at all….and congress will not touch this with my aunt’s d*Dk…

  • Idiot

    Typical Democrats sticking their nose in where it doesn’t belong,,,,,as usual.

  • abdullahi said

    were screwed.

  • http://MobileGenius.wordpress.com JM

    Didn’t AT&T donate to the campaigns of most of those who signed onto this?

    • Jb8von

      You got that right, JM.  This is just another example of congressmen thinking with whoever fattens their wallets, and not that thing inside their skull called a brain.

  • http://MobileGenius.wordpress.com JM

    Didn’t AT&T donate to the campaigns of most of those who signed onto this?

  • Anonymous

    Now you know which 15 congress members got job offers to high paying jobs with AT&T after their political careers are over. not a bribe

  • Anonymous

    Now you know which 15 congress members got job offers to high paying jobs with AT&T after their political careers are over. not a bribe

  • Havoktek

    Oh wow, please…pass the butter for my popcorn…This has just gone political on the real!!

  • Havoktek

    Oh wow, please…pass the butter for my popcorn…This has just gone political on the real!!

  • Anonymous

    That is just what is on record. That doesn’t include the VP of bla bla bla job offer he got to write that letter and influence of members to sign on it as well

  • Silk7412

    I believe the more people that file at the FCC. The better. There are over 43,802  filings now. If you tell someone about 11-65 and have them file. That helps the DOJ and us !!!

  • Blountman747

    This has gone way put of proportion. Just, give, up ATT, and leave t mobile, alone,

  • sino8r

    Obama can’t even finish one promise he’s made and now there going to ask for his help?! He is the biggest do-nothing nerd I’ve ever seen. He’s worse that Bush… why do we have to pick far left or far right for a president?! Can’t someone just be in the middle ground?

  • sino8r

    Obama can’t even finish one promise he’s made and now there going to ask for his help?! He is the biggest do-nothing nerd I’ve ever seen. He’s worse that Bush… why do we have to pick far left or far right for a president?! Can’t someone just be in the middle ground?

  • sino8r

    Obama can’t even finish one promise he’s made and now there going to ask for his help?! He is the biggest do-nothing nerd I’ve ever seen. He’s worse that Bush… why do we have to pick far left or far right for a president?! Can’t someone just be in the middle ground?

    • Anonymous

      Now, now…I hear you just need to give Barry some more time (and money).

    • Anonymous

      Now, now…I hear you just need to give Barry some more time (and money).