After months of opposition from regulators and rivals, AT&T late on Monday dropped its controversial $39bn takeover bid for T-Mobile USA, the company said.
The FCC, which was against the takeover since it was announced in March, said that the bid would reduce competition and choice, and increase prices for consumers.
AT&T announced it will now have to take a $4bn charge for dropping the offer, of which a $3bn breakup fee will go to T-Mobile’s parent company Deutsche Telecom.
In addition, AT&T said it plans to enter into a roaming agreement with T-Mobile.
