T-Mobile/Sprint Merger Approved

The court ruled for the merging parties, refusing to enjoin the merger.

Cornerstone Research supported Professors Asker and Bresnahan and Dr. Hatzitaskos in analyzing how consumers choose wireless carriers and how wireless carriers compete. This analysis used highly granular data comprising billions of data points on when, where, and how consumers use their mobile phones. The experts submitted white papers evaluating the competitive effects of the proposed merger and presented to the DOJ and the FCC as part of the regulatory review.

The merging parties announced the transaction in April 2018 and the DOJ and FCC granted approval with certain remedies in July 2019 and November 2019, respectively.

In a concurrent proceeding, Cornerstone Research supported Professor Bresnahan in his testimony before the California Public Utilities Commission (CPUC) evaluating the competitive effects of the transaction. The CPUC approved the merger in April 2020.

Cornerstone Research also supported Professor Asker in the related litigation, New York et al. v. Deutsche Telekom AG et al., in which a group of states’ attorneys general sued to block the deal. Professor Asker submitted affirmative analyses of the competitive effects of the merger and rebutted analyses of plaintiffs’ economics experts. Consistent with Professor Asker’s rebuttal, the Southern District of New York judge partially excluded the plaintiffs’ economic expert’s coordinated effects opinions. The court ruled for the merging parties, refusing to enjoin the merger.