T-Mobile to acquire majority of US Cellular, further consolidating carrier market
Is T-Mobile's US Cellular Buyout a Market Threat?
T-Mobile is set to acquire the majority of US Cellular in a deal valued at approximately $4.4 billion, aiming to enhance rural area coverage. This acquisition includes US Cellular’s stores, some spectrum assets, and customer base, with regulatory approval pending for a mid-2025 finalization. US Cellular will retain 70% of its spectrum and towers, leasing additional tower space to T-Mobile. This move marks another step in T-Mobile's strategy of consolidating smaller carriers to expand its network and services.
What regulatory approvals are required for the T-Mobile and US Cellular deal to proceed?
The T-Mobile and US Cellular deal requires regulatory approvals from various authorities, including the Federal Communications Commission (FCC) and the Department of Justice. The transaction is subject to the satisfaction of customary closing conditions and receipt of certain regulatory approvals. The companies expect to finalize the purchase by mid-2025, pending these regulatory approvals1.
How much of US Cellular's wireless spectrum and customer base will T-Mobile acquire through this deal?
T-Mobile will acquire approximately 30% of US Cellular's wireless spectrum and the majority of its customer base through the $4.4 billion deal. This includes US Cellular's wireless customers, stores, and certain specified spectrum assets.