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AT&T says it needs T-Mobile spectrum

Grant Gross, IDG News Service | June 9, 2011
AT&T defends its reasons for proposing to acquire rival T-Mobile.

Los Angeles and San Diego would both see short-term spectrum gains of more than 45%, Quinn said.

The merger would give AT&T more spectrum and cell tower coverage, giving customers better mobile data service, he said. AT&T has tried other ways to improve capacity, including distributed antenna systems and Wi-Fi hotspots, Quinn said.

"We are not stupid," he said. "We've been in the wireless business for a long time. We've tried all of these as short-term methods ... to fix and provide for more capacity. While they give you some short-term benefit, they're not long-term benefits to address the kind of bandwidth demands that we're seeing."

AT&T, in its FCC filing, will also note support for the merger from dozens of groups, including 15 state governors, 10 labor unions, nine venture capital firms and several tech firms, including Microsoft, Facebook, Oracle and Yahoo, Quinn said.

Many groups supporting the merger see the potential for AT&T to bring mobile broadband to more corners of the nation, he said. AT&T has said it plans to cover 97% of the U.S. population with 4G service if the merger is approved by the FCC and the U.S. Department of Justice. Right now, the company plans to cover 80% of the population with 4G service.


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