Source: AT&T Owes T-Mobile $6 Billion in Cash, Spectrum & Roaming Privileges if Deal is Rejected
This just made the T-Mobile and AT&T merger trials a lot more interesting. According to a source of Reuters‘, if this deal is rejected by the governing bodies of our nation, AT&T has to pay up $6 billion, which includes $3 billion in cash, $2 billion in spectrum and $1 billion worth of roaming privileges for users who wander outside of T-Mobile coverage area. The industry is not confident that the deal will go through.
All signs have pointed to a rejection and regulators have not made it easy-going for T-Mobile and AT&T thus far. There’s still a lot to get through, though. T-Mobile wouldn’t have much of an advantage over their pre-acquisition woes if they end up getting rejected, but improvement through this promised capital would be better than nothing at all.