AT&T kills $39 billion T-Mobile deal

AT&T has scrapped its plans to purchase rival mobile carrier T-Mobile USA in the face of opposition from two U.S. agencies.

AT&T said Monday it has agreed to end its bid to acquire T-Mobile USA from parent company Deutsche Telekom for $39 billion. AT&T will “continue to invest” in its services, Randall Stephenson, AT&T chairman and CEO, said in a statement.

AT&T will pay a $4 billion breakup fee to Deutche Telekom, with the charge added to the company’s fourth quarter financial results. AT&T will also enter into a roaming agreement with the German carrier.

Both the U.S. Federal Communications Commission and the U.S. Department of Justice had opposed the deal.

[Grant Gross covers technology and telecom policy in the U.S. government for The IDG News Service. Follow Grant on Twitter at GrantGross. Grant’s email address is]

Shop ▾
arrow up Amazon Shop buttons are programmatically attached to all reviews, regardless of products' final review scores. Our parent company, IDG, receives advertisement revenue for shopping activity generated by the links. Because the buttons are attached programmatically, they should not be interpreted as editorial endorsements.

Subscribe to the Best of Macworld Newsletter