Tags: GOP | Democrats | AT&T | T-Mobile

GOP, Dem Reactions to AT&T Deal Defy Stereotypes

Tuesday, 10 May 2011 02:18 PM

By Dan Weil

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Political reactions to business deals don’t always shake out as expected. That’s certainly the case when it comes to AT&T’s proposed $39 billion acquisition of cellphone competitor T-Mobile, Politico reports.

AT&T, T-Mobile, cellphone, GOP, DemocratsThe stereotypical responses would be for Democrats to oppose the deal amid concern about AT&T dominating the cellular service market and Republicans to support it as an outgrowth of a free telecommunications market.

But that’s not how it’s playing out. On the Democratic side, consumer groups, worried about higher prices, are working to scotch the deal. But unions are supporting it, salivating at the idea of unionized AT&T taking over non-union T-Mobile.

Meanwhile, some Republicans are worried that the combination, which would leave AT&T and Verizon as the dominant players in the market, would spur regulators to limit their activities in an effort to prevent a duopoly.

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