SACRAMENTO, California – The Department of Justice approved a merger between Sprint and T-Mobile Friday, and the $26.5 billion deal could have a major impact on California.
Before the merger can go through, a legal dispute on the deal involving several states has to be settled.
California Attorney General Xavier Becerra says his team is ready to go to trial on this. California is one of fourteen states opposing the deal.
The attorney general released a statement saying this merger would reduce competition and drive up prices.
He spoke about the merger earlier this week.
“If you’re giving consumers more choices, better prices, and if there’s healthy competition, that sounds like that would be a good deal, we’re not convinced this would be a good deal for consumers and that’s why we’ve taken action,” Becerra says.
Opponents say in California specifically, it could also mean the closure of more than 900 stores and the potential loss of thousands of jobs.
Sprint and T-Mobile officials argue the merger would give the company a better wireless network to compete with Verizon and AT&T, which would be better for consumers.
The trial is expected to start at the end of the year.