If there’s one thing I didn’t expect to hear today, it’s Verizon CEO Lowell McAdam give his approval to the AT&T/T-Mobile merger initiated earlier this year.

Of course, the potential business deal has been under scrutiny by the US Government, but AT&T intends to fight all the way to make the deal go through. Their argument? AT&T itself isn’t happy with its network, and the company needs T-Mobile’s network to increase its reliability. Surprisingly, Verizon agrees with that…

At an investor conference yesterday, Verizon’s CEO said:

“I have taken the position that the AT&T merger with T-Mobile was kind of like gravity. It had to occur, because you had a company with T-Mobile that had the spectrum but didn’t have the capital to build it out. AT&T needed the spectrum, they didn’t have it in order to take care of their customers, and so that match had to occur.”

McAdam said that he’d told the Federal Communications Commission that not approving the deal would ultimately harm American consumers.

A strong endorsement that might just be what AT&T needs, especially when Sprint is publicly making a case against the deal.

Why do you think Verizon CEO is approving of the deal?


  • I’m a T-Mobile customer, and as long as AT&T would permit me to ride my grandfathered plan into the sunset (forever and ever amen), then I’d have no complaints about the merger… actually, I’d rather welcome the increased coverage area.

  • VD

    BS. He wants the merger to occur so that Verizon and ATT can better collaborate on price gouging the consumer. With T-mobile out of the picture, it’s one less competitor to undercut their prices.

    • HaHa “VD”…

      Ummm Anyways – you are partially right.

      Think in terms of long-term strategy and big-picture.

      It makes no sense that Verizon would allow their competitor to gain a competitive edge unless they wanted something even more…….

      “What Eric?” (you may be compelled to ask sarcastically of course)

      Verizon’s CEO is “allowing this” because he has his eye on SPRINT.

      – Eric

  • I think you are totally wrong VD. Just look at AMD and Intel. They aren’t fuckin us over.

  • Steve

    Sure verizon wants that to happen, less competition leaves less choices for customers and better odds to get more business..

  • hxclos

    Maybe so Sprint can get screwed and Verizon can buy them out in the future. Then they could turn around and say, “You can’t sue us, this is just another merger like AT&T with T-mobile”. But even with my speculation, I think Sprint will dominate 2012 with new iPhone 5 contracts.

  • Rich

    Mobile doesnt really undercut much. Their plans are cheaper yea, but their phones are just as exspensive. And other than BlackBerries no company has the same exact phone as the other. And well now the iPhone. But Apple sets the phone price not the carrier. As for Android phones, each carrier has different ones. And as flr plans, MetroPCS and Boost have cheaper plans but not the coverage. And even tho Tmobile is cheaper, people still prefer AT&T and Verizon for speed and coverage.

  • fdxgncgfn

    probably because nobody actually wants the merger, so they’ll just switch to the other carrier that also has the iPhone.