AT&T said it will buy rival T-Mobile USA from Deutsche Telekom AG for $39bn (£24bn) making it the largest mobile phone company in the US.

美国电话电报公司将以390亿美元收购德国电信旗下的美国T-Mobile公司，组建全美最大的移动电话运营商。

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The combined mobile phone company would knock Verizon Wireless off the top spot in the US
The deal would give AT&T about 43% market share, putting it well ahead of industry leader Verizon Wireless.

T-Mobile customers will get access to AT&T's phone lineup, including the iPhone.

The deal would reduce competition in the US mobile phone industry and needs approval from regulators.

AT&T is looking to increase its network capacity to handle the rapidly increasing consumer demand for videos and data.

Regulatory approval

However, analysts² said that the deal may prove controversial.

Consumer rights group Public Knowledge said that the deal would lead to "higher prices, fewer choices, less innovation".

The phone companies countered that the US market was competitive and call prices had declined in recent years as a result.

AT&T said regulators may ask it to sell some assets as a condition for approval.

It said it expects the deal to be completed in 12 months.

AT&T Chief Executive Randall Stephenson told reporters the company had done its 'homework' on the regulatory side of things.

He said the deal could generate savings³ of more than $40bn.

"This is a unique opportunity. It's rare you have transactions（处理，会报） where the synergies（协同增效效应） are greater than the price paid," Mr Stephenson said.