How AT&T's antitrust battle looms over the Sprint/T-Mobile deal

The outcome of AT&T's fight with the Justice Department over its bid for Time Warner could shape the regulatory review of the long-anticipated union of Sprint and T-Mobile. 

AT&T wins the case against DOJ: If the government loses, analysts expect a wave of new transactions from companies trying to keep up with the new media juggernaut. This spills into telecom, as well, as the two industries become more tightly entwined. Antitrust enforcers could be forced to make resource decisions: Suing to block a deal, and potentially going back to court, is a costly and time-consuming undertaking. If AT&T wins, the company will be more of a media powerhouse than a broadband and wireless provider —leaving CEO Randall Stephenson less likely to view a combined Sprint/T-Mobile as a serious competitive threat.
DOJ wins the case: Some say that signals the government will crack down on other deals as well. But each transaction is unique — and the current DOJ doesn't seem to be interested in playing the regulator role to the extreme. Even with a court victory, DOJ could still find a reasonable argument to let Sprint/T-Mobile go through. If AT&T loses the case, some expect Stephenson would pressure Federal Communications Commission and DOJ to give the Sprint/T-Mobile deal close scrutiny. Regulators would have denied his company’s attempts to buy both T-Mobile and Time Warner. He'd be likely to raise a ruckus.