AT&T Tries to Bully the Government
Last week, AT&T Inc. said that if the Federal Communications Commission insists on limiting the number of spectrum licenses a wireless carrier can buy in its planned auction, AT&T might not participate at all. AT&T's overreach should be resisted by the FCC and by the public. We need smaller competing carriers, such as T-Mobile US Inc. and Sprint Corp., to have access to low-frequency spectrum, and the 2015 auction is the last best chance to reach that end.
T-Mobile Chief Financial Officer Braxton Carter has famously called the U.S. wireless sector a "predatory duopoly," with AT&T and Verizon Communications Inc. the predators and Sprint and T-Mobile the prey. Over the last year, AT&T and Verizon accounted for almost all the sector's profits; from 2009 to 2013, the two giants accounted for more than 85 percent of the increase in profits that the sector has enjoyed.
