We’re all aware of AT&T trying to buy T-Mobile, but many of us may not be aware of what else AT&T is trying to buy up.
Apparently AT&T has been in the market for local cell phone companies for a while now. Behind the scenes they have been slowly buying up different corporations. AT&T plans to buy out the minority stakes in a couple of Cincinnati wireless companies to the tune of $320 million cash.
The two companies AT&T is looking to purchase were splinters off of Cincinnati Bell. These companies split from Bell in 1998. AT&T holds roughly 55% of these two companies and manages their daily routines and such.
If the sale of the minority stakes of these two companies goes through, it will generate after-tax profits of $250 million for those selling the shares. It is believed that the sale will go through sometime in early July because there is no approval needed as AT&T is already the main partner.
Here is the question that plagues my mind….Is this just the beginning? If AT&T continues to buy up all the competition, will the FCC stop them? Or are consumers going to be left with one or two choices of cell phone carriers that will be able to jack prices way up for the simple fact of they can. As an AT&T customer, I’m worried about what this might be for the future of all cell phone companies.
Source: Fierce Wireless