AT&T CEO Promises Lower Costs If Merger With DirecTV Passes, But Not For Consumers
It what seems like a couple of lines from an Onion article, Reuters reports that Senator Richard Blumenthal (D-Connecticut) asked AT&T CEO Randall Stephenson point blank if he could promise that these cost savings will be passed on to consumers. “No sir, I can’t,” was the reply.
Image Source: Flickr (Adam Kutzko)
However, Stephenson did state that he hoped it would slow the price increases for consumers. (What a mench.)
In sum, AT&T and DirecTV promise lower costs for themselves (thereby allowing them to better compete against companies that are already at a disadvantage because of their size), but not any for consumers, and that’s supposed to convince U.S. lawmakers that this merger is good for the market.
mage Source: Flickr (Mike Mozart)
It sounds like Stephenson is making a different argument that the one he thinks he’s making.