The watchdog opposed the merger past year on the grounds that it would harm local competition in Australia's "concentrated" mobile telecommunications market.
The whole saga started back in August 2018 when TPG and Vodafone announced a $15 billion merger that would allow them to compete with the likes of Optus and Telstra in all areas of the market including 5G.
'This could result in them expanding Vodafone's mobile network further into regional areas and building a fast 5G network created to compete head-to-head with the NBN, ' he told the Geelong Advertiser.
Amaysim chief executive officer Peter O'Connell also welcomed the merger and said "the Australian mobile market has always been dominated by Optus and Telstra".
Justice Middleton further added that it was not the ACCC's responsibility to 'engineer competition, ' and that 'leaving TPG and Vodafone in their current state would not create more competition in the market'.More news: Canada doesn't tell police what to do, Trudeau says of rail blockades
TPG had stopped the construction of its mobile network as of January 19, hoping that ACCC would approve the proposed merger.
The networks operated by the three telcos also support mobile virtual network operators (MVNOs), such as TPG.
Today the two companies had their day in court and have come out victorious with Justice Middleton agreeing that the merger would not reduce competition.
ACCC opposed the merger past year as it considered that TPG was likely to continue to roll out its own mobile network and become an innovative and disruptive competitor in Australia's concentrated mobile telecommunications market. However, its plans to build its own mobile network were abandoned after the Australian government banned working with Huawei.
The ACCC - Australia's competition watchdog - had previously argued that a merged telco would stifle competition, particularly in Australia's all-important mobile market.More news: What happened to Faye Swetlik? SC Police ID man found found dead
"Mobile telecommunication services are integral to Australia's social and economic future and Telstra, Optus and Vodafone already control nearly 90 per cent of the market. These concerns were reinforced by statements from the industry welcoming the merger and the consequent "rational" pricing".
The Australian Competition and Consumer Commission (ACCC) opposed the $16 billion merger in May 2019 on the grounds that it would lessen competition in Australia's telecommunications market.
"The more quickly the merger can proceed, the faster we can deliver better competitive outcomes for Australian consumers and businesses", he said in a statement.
The merger will allow Vodafone to accumulate valuable 5G mobile spectrum owned by TPG.
The merger is on its way to completion in mid-2020, unless the ACCC makes further appeals.More news: Michael Avenatti convicted on all counts in Nike extortion trial
The ACCC has 28 days to lodge an appeal.