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AT&T To Challenge FCC if Merger Application Withdrawal Denied

On Friday, AT&T denied that FCC (Federal Communications Commission) can block withdrawal of their $39 billion merger application with T-Mobile USA, saying that FCC did so before giving commissioners a chance to vote on the proposal regarding sending of the matter for hearing.

The AT&T statement discloses that the commissioners missed their chances to cast their vote on the proposal that was announced on Tuesday by Julius Genachowski, chairman of FCC. The proposal was regarding sending of AT&T and T-Mobile USA merger for approval before an "administrative law judge".

The latest development in this matter is that, AT&T withdrew its merger application that was submitted to the FCC.

According to FCC officials, they have two options either grant the withdrawal with prejudice which will enable AT&T to reapply later or outright denial that will let FCC move ahead with their plans for voting on hearing.

General Counsel at AT&T, Wayne Watts, said, "We have every right to withdraw our merger from the FCC, and the FCC has no right to stop us."

Watts added, "Any suggestion the agency might do otherwise would be an abuse of procedure which we would immediately challenge in court", reported The Wall Street Journal (opens in new tab).

Ravi Mandalia

Ravi Mandalla was ITProPortal's Sub Editor (and a contributing writer) for two years from 2011. Based in Ahmedabad, India, Ravi is now the owner and founder of Parity Media Pvt. Ltd., a news and media company, which specializes in online publishing, technology news and analysis, reviews, web site traffic growth, web site UI. Ravi lists his specialist subjects as: Enterprise, IT, Technology, Gadgets, Business, High Net Worth Individuals, Online Publishing, Advertising, Marketing, Social Media, News, Reviews, Audio, Video, and Multi-Media. He has also previously worked as Dy. Manager - IT Security at (n)Code Solutions.