NY State commission cautions FCC on AT&T-T-Mobile merger

The New York State Public Service Commission has warned the Federal Communications Commission that AT&T's proposed acquisition of T-Mobile could significantly harm public interest and stifle competition for wireless services.

In its filing, the NYPSC stops short of calling on the FCC to deny the $39 billion merger, but it urged the federal agency to closely evaluate on a market-by-market basis how it could impact wireless concentration. Though it plays no official role in the approval process, New York can influence the transaction by successfully arguing that state residents, particularly those in New York City, will be "disproportionally" affected. "Wireless infrastructure and services are critically important to the citizens, and economy, of New York State," the letter said. "It is critically important that New York State consumers be protected against potential harm caused by further consolidation in wireless voice and broadband markets...We also urge the FCC to allow additional process, including opportunities for further review and comment, as the FCC moves forward in its review."