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Democatic Lawmakes Urge President Obama to Approve AT&T/T-Mobile USA Merger
Posted: 16-Sep-2011 [Source: Congressman Heath Shuler]

[Fifteen Democratic Congressional representatives co-sign letter to President Obama urging him to settle and approve the merger between AT&T and T-Mobile USA stating the merger "will create jobs and expand high-speed Internet access to individual and businesses across the country."]

Wshington, DC -- September 15, 2011

The Honorable Barack Obama President of the United States The White House Washington, D.C. 20500

Dear Mr. President:

On September 8th, you came before a Joint Session of Congress and asked us to focus our efforts on solving America’s jobs crisis by working to reduce unemployment, encourage private investment and promote new and innovative technologies that will drive job creation. We agree wholeheartedly, and both the Congress and the Administration should take action immediately to battle our country’s severe economic crisis.

One opportunity rests squarely before you with the proposed transaction between AT&T and T-Mobile USA. We urge the Administration to resolve expeditiously your concerns and approve the proposed merger between AT&T and T-Mobile USA. The current merger proposal embraces the three job creation strategies you have already highlighted.

First, the merger will reduce unemployment. AT&T has announced plans to repatriate 5,000 jobs that are currently being performed overseas. In addition to these 5,000 jobs, a recent study has shown that the merger will create somewhere between 55,000 and 96,000 new jobs to integrate the two networks and upgrade facilities.

Secondly, the merger will engender new private investment to deploy wireless high speed Internet access services to 97% of the U.S. population. Coverage of this magnitude will necessitate an additional $8 billion investment from AT&T over and above its current industry leading capital investments.

You recognized the economic importance of these services in your “State of the Union” address to the nation last January, when you said “within the next five years, we’ll make it possible for businesses to deploy the next generation of high-speed wireless coverage to 98% of all Americans.” The proposed merger will virtually achieve that goal – and do so on a faster timetable than you had proposed and without a single dime of taxpayer money.

Finally, the deployment of next generation, wireless broadband is the type of investment in new and innovative technology that will drive job creation for years to come. A recent study by Deloitte predicts that next generation wireless broadband buildout by the wireless industry will create 371,000-771,000 jobs and GDP growth between $73 billion and $151 billion by 2016. AT&T’s proposed merger commitment to make available this new technology to 98% of the nation’s population will be a key component of the industry buildout.

We recognize that the Department of Justice has intervened in the merger to ensure competitive markets and protect consumers. Addressing these concerns through a settlement agreement that ensures robust competition while preserving the job creation, capital infrastructure investment and wireless broadband deployment benefits of the merger should be the Department’s goal.

We urge you to encourage resolution of this matter in a timely fashion and appreciate your consideration of our concerns.


Heath Shuler Member of Congress

Letter co-signers: - Rep. Shuler - Rep. John Barrow - Rep. Mike Ross - Rep. Dan Boren - Rep. Dennis Cardoza - Rep. Joe Baca - Rep. Leonard Boswell - Rep. Ben Chandler - Rep. Jim Costa - Rep. Henry Cuellar - Rep. Mike McIntyre - Rep. Mike Michaud - Re. Collin Peterson - Rep. Loretta Sanchez - Rep. David Scott


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