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Deutsche Telekom calls off Qwest for US partner

By Tony Hallett

Published: 10 March 2000 10:14 GMT

The proposed acquisition of Qwest Communications and US West by Deutsche Telekom ended in failure last night when the German carrier walked out of talks.

According to US press reports, Qwest is blaming the Baby Bell for the breakdown of negotiations.

Last week, US West expressed concern that it hadn't been included in talks with a suitor identified by Qwest only as "a major telecommunications company". A question mark now hangs over the pending Qwest-US West deal, even though the companies have recently sorted out some of the finer points of their union.

The $100bn three-way tie-up would have fulfilled Deutsche Telekom's ambition to become a major player in the US.

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