You’ll likely have one less choice for mobile service soon.
Last year, nine states and the District of Columbia filed suit to block T-Mobile’s $26.5 billion acquisition of Sprint. Tuesday, a federal judge ruled against the states, allowing the merger to move forward. The deal still needs approval from the California Public Utilities Commission, but it’s not clear whether the commission can actually block the deal.
The states argued that fewer wireless providers would mean higher prices and worse service. But US District Judge Victor Marrero ruled that the merger “is not reasonably likely to substantially lessen competition” in wireless markets. One key element of Marrero’s decision: that satellite television company Dish could become a viable fourth competitor. But it’s far from clear that Dish will be able to challenge the existing wireless companies.
Marrero ruled that the states failed to prove the merger would lead to higher prices. He also worried that Sprint wouldn’t be viable as an independent company.
More at Wired.