"Never underestimate the DOJ and the FCC," warns Kevin Smithen, an analyst at Macquarie Capital, in response to the failed AT&T Inc.-T-Mobile USA Inc. merger. "The mistake that AT&T made is they thought that they had political support for this transaction." Still, he thinks that further M&A in wireless telecom is likely. Says Smithen, "If you're one of the smaller players ... consolidation is the likely end game for you." He goes on to discuss the merits of a Sprint Nextel Corp.-T-Mobile merger. - Katie Roof