Telecom Lead America: T-Mobile USA will soon be
receiving a big chunk of spectrum from AT&T, the No. 2 U.S. mobile service
provider, as the latter operator has got regulatory approval from FCC.
The spectrum will be given as part of AT&T break-up
offering in compensation for the failure of their efforts to merge.
The move will provide T-Mobile with Advanced Wireless
Systems (AWS) spectrum in 128 cellular markets, including 12 of the top 20,
T-Mobile said in a statement.
AT&T was left with an obligation to give wireless
air waves and $3 billion cash to Deutsche Telekom AG unit T-Mobile USA after
AT&T’s $39 billion plan to buy its smaller rival failed late last year due
to strong regulatory opposition.
The Federal Communications Commission said that it has
approved of AT&T’s transfer of spectrum to T-Mobile USA, the No. 4 U.S.
mobile service provider.
A few months back, T-Mobile announced its plans to
roll out its 4G LTE network next year. The large part of the spectrum for
its network expansion and money is coming from the AT&T breakup deal.
T-Mobile USA will spend $4 billion on improving its
network and deploying new technology in 2013.In preparation for the LTE launch,
T-Mobile is planning to install new equipment at 37,000 cell sites and reform
spectrum.
“T-Mobile continues to need more AWS spectrum
to support its 4G evolution efforts and the continued growth in mobile data
services,” the carrier said today.
AT&T pulls out of $39 billion bid to acquire T-Mobile USA
Last year, AT&T and Deutsche Telekom AG decided to
end AT&T’s bid to acquire T-Mobile USA in a $39 billion deal, after failing
to get approvals from Federal Communications Commission and the Department of
Justice.
editor@telecomlead.com
