Nov 26, 2019

Texas and Nevada exit T-Mobile-Sprint lawsuit

Ina Fried, author of Login

Photo: ALASTAIR PIKE/AFP via Getty Images

Nevada and Texas announced Monday they are dropping out of the suit that seeks to block T-Mobile's acquisition of Sprint. Texas said it got a number of commitments, including an agreement not to raise rates for 5 years and to ensure the state's rural areas have 5G coverage.

Why it matters: The lawsuit from the states is the main remaining hurdle to the deal's closure. Texas Attorney General Ken Paxton was the only Republican seeking to block the deal.

  • Yes, but: 14 states are still suing, with a trial set to begin next month.

What they're saying: "Today's deal does not resolve the fundamental anti-competitive concerns at the core of this case — that the mega-merger of T-Mobile and Sprint will reduce competition in the mobile marketplace," New York Attorney General Letitia James said in a statement.

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