The following statement is attributed to Harold Feld, legal director for Public Knowledge:

“Consumers will benefit from the rules the Federal Communications Commission issued today that allow programming to continue to be carried on video systems when there is a dispute over carriage.

“Consumers could be stuck in the middle when the cable and satellite operators reach an impasse with program providers over carriage issues.  Under the rules the FCC issued, programming will continue to be available while disputes are resolved.

“We are also heartened by the Commission’s proposed rules requiring video carriers, like telephone, cable and satellite companies, to deal in good faith with independent programmers.  These rules are long overdue and their absence has allowed for the potential for anticompetitive, and anti-consumer, behavior in excluding programming channels in which the operators have no stake.”

Earlier today, House Commerce Committee Chairman Fred Upton (MI), Communications Subcommittee Chairman Greg Walden (OR) and Oversight Subcommittee Chairman Stearns (FL) sent a lengthy letter to the FCC asking for documents and communications related to the Commission’s Net Neutrality rule.

The letter is available here.

AT&T is due today to submit another economic “model” to justify its $39 billion takeover of T-Mobile.  The following is attributed to Gigi B. Sohn, president and co-founder of Public Knowledge:

“It is clear that AT&T’s submission of a new justification for taking over T-Mobile is exactly like the coach of a losing team calling time out so he can work the referees.  While the Federal Communications Commission (FCC) stops its merger review process to examine the new plan, AT&T will use the time to spend more millions of dollars lobbying federal, state and local officials and recruiting non-governmental groups to support what is clearly a failing action.

“Unless this new ‘model’ can come up with a different answer to the problem of 4-1=3, (which would inevitably be followed by 3-1=2) we’re not interested.  Removing a major competitor from the national wireless market still makes no sense.

The following is attributed to Gigi B. Sohn, president and co-founder of Public Knowledge:

“We would like to congratulate AT&T on another sterling quarter.  Their revenue is up, to $31.5 billion.  Their wireless business is adding customers, growing revenue and selling phones at record levels. They are earning 41 percent on the wireless business. Even the wireline business is showing recovery.

“Just about the only part of AT&T that’s not growing is the number of employees.  According to company figures, there are 13,586 fewer employees than there were in the same quarter a year ago. 

A new poll released today by Public Knowledge found deep concerns about AT&T’s takeover of wireless rival T-Mobile.  The poll, conducted by Anzalone Liszt Research of 800 likely voters, reported more than 80 percent of those replying had concerns, including 44 percent who were very concerned, about the combination of wireless companies.

The poll similarly found people wanted the federal government, not private Internet Service Providers (ISPs), to serve the consumer-protection function on the Internet.  The poll found that by a 27-point margin (58% to 31%), voters say that ISPs should not be allowed to police themselves when it comes to whether they are blocking or slowing down access to websites.  The poll also found substantial support for an Internet in which every person and every business has an equal opportunity to succeed.

Seven public-interest and consumer groups today asked Federal Communications Commission (FCC) Chairman Julius Genachowski to hold public field hearings on AT&T’s proposed takeover of T-Mobile.

“Holding hearings would be consistent with the Commission’s recent actions to increase public participation in its proceedings. In fact, the Commission has previously held field hearings about proposed mergers and other topics that greatly impact consumers,” said the letter, which was signed by Public Knowledge, Consumers Union, Free Press, Future of Music Coalition, Media Access Project, National Hispanic Media Coalition and the Open Technology Initiative of the New America Foundation.

A number of House Democrats have sent a letter to FCC Chairman Julius Genachowski and Attorney General Eric Holder regarding AT&T’s buyout of T-Mobile.

The following statement is attributed to Gigi B. Sohn, president and co-founder of Public Knowledge:

“The letter that Democratic members of Congress does not endorse the AT&T’s takeover of T-Mobile.

“The letter said the proper authorities should study AT&T’s buyout of T-Mobile in a “thorough and expeditious manner”and that “relevant issues including consumer prices, competition, and innovation” be considered.   The letter also supported the need for high-speed broadband deployment for more high-tech jobs.  We agree on all counts.  

AT&T’s takeover of T-Mobile is illegal under the Communications Act, Public Knowledge will argue in a filing to the Federal Communications Commission (FCC).

The Communications Act (Sec. 314) bars the FCC from approving transactions that lessen competition or restrain commerce between the U.S. and foreign countries.  In its reply comments to the FCC, PK said:  “As the record shows, even under the most cramped and restrictive reading of the statute, Section 314 prohibits the transfer of facilities and assets between AT&T and Deutsche Telekom. The Commission has received numerous submissions from foreign carriers, foreign governments, and others that the combination of assets will “substantially lessen competition” in international roaming for GSM-based carriers.”

AT&T and T-Mobile failed to prove why they should be allowed to merge, even failing to meet their own public-interest standards, according to Public Knowledge and the Future of Music Coalition.

The filing is here.

Public Knowledge President and Co-Founder Gigi B. Sohn today criticized AT&T’s takeover of T-Mobile, saying, “It would be hard to imagine a takeover that could do more harm to consumers.”  She spoke at a Capitol Hill press conference hosted by Rep. John Conyers, Jr., the senior Democrat on the House Judiciary Committee.

Her statement follows:


Statement of Gigi B. Sohn
President and Co-founder of Public Knowledge
May 25, 2011


It would be hard to imagine a takeover that could do more harm to consumers than AT&T buying out its competitor, T-Mobile.  If this deal is allowed, about 80 percent of the market share and 90 percent of the revenue will belong to two companies – AT&T and Verizon.