Judge Sides With Cell-phone Carriers

A federal judge has ruled in favor of five cell-phone companies in a case brought by consumers who said the companies violated antitrust laws by tying their phone services to particular brands of handsets.

The lawsuits, filed in April 2002, named AT&T Wireless, Verizon, Cingular, T-Mobile, and Sprint as defendants. U.S. District Judge Denise Cote dismissed all five suits, saying that no carrier had enough power over the market to limit competition. She noted that of the five defendants, Verizon had the largest share of the market, at 24 percent, with the others holding between 8 and 18 percent. Cote also pointed out that of the five defendants, only AT&T directly ties cell-phone service to the purchase of a handset.

San Jose Mercury News, 31 August 2005