The Justice Department is leaning against approving T-Mobile U.S. Inc.'s proposed takeover of Sprint Corp., according to a source familiar with the review, even after the companies won the backing of the chairman of the Federal Communications Commission.
The remedies proposed by the wireless carriers Monday don't go far enough to resolve the department's concerns that the deal risks harming competition, said the source, who asked not to be named because the investigation is confidential.
Opposition to the deal by the Justice Department's antitrust chief, Makan Delrahim, would mark a rare break with the FCC. The two agencies work side by side on merger reviews and typically emerge on the same page about whether to approve deals.