States sue over Sprint, T-Mobile merger

Source: Tiffany Hsu & Matthew Goldstein, New York Times (Paid Registration)

A $26 billion T-mobile/Sprint merger deal seemed to be moving forward in recent weeks, when the head of the Federal Communications Commission gave it his blessing. But on Tuesday, the plan hit a roadblock when a group of state attorneys general sued to block it.

The 10 officials who filed suit, all of them Democrats, said on Tuesday that if the merger went through, the prices consumers paid for phone plans would rise as the number of major wireless carriers dropped to three from four.

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