T-Mobile-Sprint in jeopardy? Execs face grilling on Capitol Hill

CNET | 2/13/2019 | Marguerite Reardon
smnth28 (Posted by) Level 3
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CEO of T-Mobile John Legere (L) and Executive Chairman of Sprint Marcelo Claure (R) testify before the Senate Judiciary Committee in June about their planned $26 billion merger.

T-Mobile and Sprint executives will be in the hot seat this week on Capitol Hill as Democrats in the House of Representatives grill them over their proposed $26 billion merger.

CEO - John - Legere - Sprint - Executive

T-Mobile CEO John Legere and Sprint Executive Chairman Marcelo Claure will testify Wednesday at 10 a.m. ET before the House Energy.

The executives have already made bold claims about the benefits of their merger, promising the new company will lower prices and create thousands of new jobs, starting "on day one." Most importantly, they say the merger will allow the "New T-Mobile" to accelerate the deployment of super fast 5G wireless technology, which Legere claims will finally bring broadband to millions of rural Americans.

Order - Claims - Critics - Fly - Face

It's a tall order to fill. And the claims, which many critics say fly in the face of basic economics, are sure to get a lot of scrutiny. But according to Legere's written testimony posted on Tuesday, he seems to have answers for each of his critics.

"Some have argued that this merger will not deliver on what we are promising," he'll say, according to the testimony. "I could not disagree more...If we broke faith we would lose our loyal customers and destroy the future of our brand. I want to assure you that we would never do this."

Hearing - Companies - Critics - Heat - Lobbying

The hearing comes as the companies and their critics turn up the heat on their lobbying efforts. The deal, announced last April, is entering the "ninth inning" according to Legere. While Congress has no actual say in whether it gets approved or denied, it does have oversight of the Federal Communications Commission, which must determine if it's in the public interest, and the Department of...
(Excerpt) Read more at: CNET
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