Deutsche Telekom, AT&T at Odds as T-Mobile Deal Crumbles

Deutsche Telekom AG and AT&T Inc. have vowed to fight together in court to rescue a $39 billion sale of T-Mobile USA Inc. That display of unity masks their divergent interests should those efforts fail.

AT&T would gain from drawing out the regulatory review to keep ownership of its smaller rival uncertain while putting off the payment of a breakup fee estimated at as much as $7 billion, investors said. T-Mobile owner Deutsche Telekom is better off having its hands free as soon as possible to explore options after a U.S. Justice Department lawsuit to halt the deal sliced 14 percent off its stock in just over a week, they said.