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WASHINGTON – On Sunday, AT&T announced it had reached an agreement to takeover T-Mobile USA for $39 billion. If approved by federal regulators at the Department of Justice and the Federal Communications Commission, the merger would unite the second- and fourth-largest wireless carriers, representing nearly 130 million subscribers.

Free Press Research Director S. Derek Turner made the following statement:

"Don't believe the hype: There is nothing about having less competition that will benefit wireless consumers. And if regulators approve this deal, they will further cement duopoly control over the wireless market by AT&T and Verizon.

"A market this concentrated -- where the top four companies already control 90 percent of the business, and two of them want to merge -- means nothing but higher prices and fewer choices, as the newly engorged AT&T and Verizon exert even more control over the wireless Internet.

"Before rushing to sign off on yet another mega-merger, the FCC and the Justice Department should confront the very real problems of runaway consolidation in the wireless market."

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