DOJ officials on Monday said that they couldn't agree with the companies on an "adequate remedy" that would make the merger less anti-competitive.
In the deal, AT&T seeks to vertically integrate its wireless and pay-TV capabilities with Time Warner's video content including Warner Bros. studios and cable channels such as HBO, CNN, TNT and TBS. The antitrust lawsuit announcement followed weeks of speculation that included reports the DOJ demanded AT&T and Time Warner sell Turner Broadcasting, which includes CNN. "It would mean higher monthly television bills and fewer of the new, emerging innovative options that consumers are beginning to enjoy".
AT&T head lawyer David McAtee said so-called vertical mergers, between companies that are not direct competitors, are routinely approved. Historically, it's rare for the government to successfully block vertical mergers.
Taylor Swift makes surprise appearance at 2017 AMAs to honour Diana Ross
The American Music Awards are finally here, and you're not the only one excited for the night of glamour and musical delights. Diana then took the stage in a plum-colored gown, tulle shawl, and major statement jewels on her neck.
Apple postpones launch of HomePod speaker until 2018
Inside it sports an Apple A8 microprocessor, which the company claims is "the biggest brain inside of a speaker". However, the tech giant has now said it will start shipping in the US, UK and Australia in early 2018.
Argentina: Satellite calls 'not from missing submarine'
A Submarine Rescue Chamber, also known as a McCann Chamber, is loaded aboard a cargo plane for transport in this Navy 2008 photo. The Argentine navy is seeking records from the satellite phone company to help locate where the calls were from.
Mark Cuban thinks the big losers of the DOJ's decision to sue to block the AT&T-Time Warner merger will be Google and Facebook. AT&T Chief Executive Officer Randall Stephenson countered those reports the next day, saying he'd never been under pressure from the DOJ to sell CNN.
Consumer advocates have also been advocating against the approval of the merger, warning about the harms of continued consolidation in the telecom and media industries.
By testing the arrangement, the Justice Department is adopting a starkly unique strategy to antitrust issues than the Obama organization did.