New York state will not try to block the proposed merger involving T-Mobile and Sprint.
New York Attorney General Letitia James and her counterpart in California led a coalition of 14 attorneys general who sued to stop T-Mobile’s purchase of Sprint, arguing that eliminating a major wireless company would hurt consumers by reducing competition and driving up prices for cellphone service.
But a federal judge in New York sided with the two telecommunications companies last week.
On Sunday, James released a statement saying that after a thorough analysis, New York has decided not to try to appeal the ruling. Instead, she says the AG’s office hopes to work with all parties to make sure consumers get the best pricing and service possible.
Regarding the decision by state officials, James said, "We are gratified that this process has yielded commitments from T-Mobile to create jobs in Rochester and engage in robust national diversity initiatives that will connect our communities with good jobs and technology. We are committed to continuing to fight for affordability and access for all of New York’s mobile customers.”
T-Mobile has discussed putting in a call center in Henrietta if the merger goes through, which would potentially create around 1,300 jobs and it’s something that somelocal government and business officials have citedas they backed the merger.
According to Reuters, the office of the California Attorney General says it is reviewing the court ruling and its options. There was no immediate word whether some of the other states involved in the original lawsuit will still try to appeal last week’s ruling.
