BI Chinese Station reported on July 13
US court court documents show that the US Department of Justice has appealed the court's decision to approve AT&T and Time Warner's $85 billion M&A transaction.
AT&T CEO Randall & Randall Stephenson
After nearly two years of hard work, the M&A deal was approved by Judge Richard in mid-June in June. However, after the court has made a ruling, the Ministry of Justice can appeal the ruling within 60 days.
AT&T's general counsel, David McAtee, said: "The court's decision is based on facts and is very reasonable. Although the party that lost the lawsuit has the right to appeal, we are surprised that the US Department of Justice has chosen to appeal in this case. We are preparing to defend the verdict in the Circuit Court of Appeals in Washington, DC. ”
During the trial, the US Department of Justice argued that vertical mergers (that is, mergers of two companies with the same industry but different businesses) will reduce competition and harm consumers' interests, as this allows the company to have more in negotiations with programmers. Great control. This may result in consumers having to pay a higher fee for the content.
Judge Leon ruled: “Ultimately, I concluded that the government failed to fulfil its responsibilities and that the proposed transaction could significantly reduce competition. & rdquo; He does say that AT&T will have to temporarily separate Time Warner's Turner and DirecTV.
The merger of AT&T and Time Warner has received close attention from the industry as it is being integrated. The merger also prompted Comcast to acquire the assets of 21st Century Fox for $65 billion. This offer was later surpassed by Disney's $71.3 billion. AT&T shares fell 1.5% in after-hours trading on Thursday.