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Verizon Sells ‘Excess Spectrum’ to T-Mobile USA, With Conditions

Despite perpetual claims of a wireless spectrum shortage, Verizon Wireless expects to have capacity to spare and has agreed to sell airwave licenses worth millions to T-Mobile USA if it can get federal regulators to approve a separate $3.6 billion acquisition of spectrum from some of America’s largest cable operators.

The deal will transfer surplus frequencies Verizon expects to acquire from its deal with Comcast, Time Warner Cable, Cox, and other cable companies in return for undisclosed compensation from the German-owned carrier. In return, T-Mobile will also turn over some of its spectrum to Verizon, most likely to give both companies a larger pool of contiguous spectrum.

The frequencies involved are expected to be in the Advanced Wireless Services (AWS) band (1700/2100MHz).

Wall Street analysts say the deal will remove T-Mobile from the list of concerns critical of Verizon Wireless’ deal with cable operators. It also may alleviate some criticism that Verizon is “hoarding” spectrum.

 

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  • Jonny: My smaller cable company Suddenlink (1.4M customers) started the same thing. 250GB cap with with their medium speed of 50mbps. They are only doing thi...
  • Joe V: Man these guys just don't get it. Not to worry, just as the music industry learned the hard way that to piss off their customers by giving them crap, ...
  • Mike D.: The TV providers have never been willing to fight for the consumer with the other conglomerates who bundled crap with one or two channels of good cont...
  • Sean Colbert: The comcast cap isnt even bad compared to mine. I have Hughesnet Gen4 (All I can get in my area) and I have a 20gb a month limit with an extra 50 in b...
  • zychor: 59Mbps down, 5.9Mbps up ..it doesn't matter internet is so slow...
  • Phillip Dampier: Rats... and I knew I caught this in the proofread and made the change but it stayed a draft while the inaccurate one went live. Thanks for catching th...
  • Dave: Quit whining....bunch of babies...
  • bob: how is this fair to existing customers who reside in areas where upgrade hasnt gone through. im supposed to pay 60 plus dollars each month for extreme...
  • Michael Elling: Paul, part of this stems from the industry's infatuation with vertical models and the govt-granted quasi-monopoly structure stemming from spectrum sal...
  • Paul Houle: One of the funny things about the current debate is that communities everywhere are asking for better wireline broadband, but you don't see many peop...
  • Duffin: I have just dropped my cable, and I do plan on getting Hulu Plus instead, but you know what? If they stop putting current episodes on Hulu I'm just no...
  • David Manthos: The bill is actually HB 2551, not 2511. http://www.legis.state.wv.us/Bill_Status/Bills_history.cfm?input=2551&year=2016&sessiontype=RS&...

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