Thursday, October 20, 2011

AT&T/T-Mobile merger would be good for rural NC

The combination of the country’s second and fourth largest wireless carriers would violate antitrust law and “substantially lessen competition," according to a lawsuit filed by the U.S. Justice Department. But North Carolina state Sen. Tom Goolsby said he thinks the merger of AT&T and T-Mobile would be good for the Tar Heel state.

"Basically because of the ability of these companies to combine their resources and deliver 4G broadband internet to homes across America, particularly out in the areas in the hinterlands where folks don't currently have 4G. It is important that we be able to expand that," said Goolsby.

He said he would normally have a problem with two major corporations merging, but the industry is regulated. "Their prices are regulated, the delivery of services are regulated, their areas are regulated. If this were totally a free market thing, I absolutely could understand those concerns. It is the kind of thing that we have to watch. If we do have problems with it, then we need to roll it back and figure out something different."

Goolsby is from New Hanover County. Aside from Wilmington, the county is very rural and Goolsby believes rural areas would benefit greatly from a merger of AT&T and T-Mobile. If the FCC does reject the merger, AT&T can still appeal the decision, opening up a second trial in federal court.