Closing arguments bring us one step closer to decision on T-Mobile-Sprint merger

In a federal courtroom in Manhattan, U.S. District Court Judge Victor Marrero is hearing closing arguments today in the case that could determine whether T-Mobile finally gets to merge with Sprint. 13 state attorneys general and the attorney general of Washington D.C. seek to have the merger blocked. The plaintiffs are concerned that the merger, by reducing the number of major wireless providers in the states by 25%, will lead to higher prices for consumers.
The Attorney General of New York State says that Dish is not a “suitable replacement” for Sprint
To get approval from the U.S. Department of Justice, a regulatory agency that has quashed mergers involving T-Mobile in the past, Sprint agreed to a $5 billion deal with Dish Network that turns over its prepaid unit to the satellite television provider. This includes Boost Mobile, 9.3 million subscribers, 400 employees, 14MHz of 800MHz spectrum, and 7,500 retail locations. The deal also calls for Dish to sign an MVNO deal with T-Mobile allowing it to sell wireless service before it finishes building out its 5G network. All of this would take place following the closing of the T-Mobile-Sprint merger.
But the states argue that Dish Network can’t be counted on to replace Sprint as the nation’s fourth-largest carrier. One reason is that Dish is considered a “spectrum hoarder.” In 2017, Dish purchased a ton of low-band 600MHz spectrum but has been sitting on this valuable asset ever since. New York State Attorney General Letitia James spoke to the press this morning outside of the courthouse and stated that “Dish would not be a suitable replacement for Sprint and the merger would mean higher prices and reduced quality of service for millions of people across the country.”
This is a developing story and will be updated throughout the day. Keep checking in.