AT&T/BellSouth Pretend GAO Report Supports Merger Claims
from the up-is-down,-left-is-right dept
Remember a few weeks back when the GAO came out with a report that totally trashed the FCC's method for collecting broadband competition data? The same report that found very little competition and also found that in the absence of FCC regulations, broadband prices went up instead of down? Well, Matthew Lasar writes in to let us know that AT&T and BellSouth have responded to the report, saying that it actually supports the reasons for a merger -- though, they conveniently don't appear to have read the actual report. Somehow, lawyers for the companies claim that the GAO report shows that prices have declined across the board -- ignoring that the report found the decline in pricing was due to regulatory efforts in areas where there wasn't enough competition. In the few areas where the FCC let the companies run free, it found that prices were higher. In other words, there's not enough competition out there, which was the main conclusion of the GAO report. If that's the case, it's hard to see how such a big merger helps increase the competition at all.