The Justice Department says it will file a lawsuit in federal court, in an attempt to block the merger of AT&T and Time Warner. The DOJ said today it believed the merger would reduce competition and innovation by merging Time Warner's content with AT&T's distribution platform.
The department argued that the combined company would hinder its rivals by forcing them to spend more to distribute Time Warner networks. The $85-billion proposed merger has drawn criticism as a dangerous consolidation of the telecommunication and media industries.