AT&T Buys Wireless Assets From Verizon Wireless
Saturday, May 09, 2009: AT&T has signed a definitive agreement to acquire wireless assets from Verizon Wireless for $2.35 billion in cash. Under terms of the agreement, AT&T will acquire wireless properties, including licences, network assets and 1.5 million current subscribers in 79 service areas, primarily in rural areas across 18 states. Verizon Wireless is required to divest these properties as part of the regulatory approvals granted for its purchase of Alltel earlier this year. The states represented are: Alabama, Arizona, California, Colorado, Iowa, Kansas, Michigan, Minnesota, Montana, Nebraska, Nevada, New Mexico, North Dakota, South Dakota, Tennessee, Utah, Virginia and Wyoming.
As a result of the transaction and upon transition of the operations to AT&T, the subscribers in these service areas will be able to enjoy the benefits of AT&T’s 3G broadband network. AT&T is claimed to have the nation’s fastest 3G network, now available in nearly 350 major metropolitan areas, with 20 more planned by the end of the year.
After operations transition to AT&T, the primarily rural subscribers added through this transaction will be able to experience mobile broadband on all the smartphones AT&T offers. AT&T is said to lead the industry in smartphones — including iPhone 3G — and it also allows subscribers to access AT&T’s 3G and Wi-Fi networks using the nation’s lineup of ultralight netbooks with embedded wireless capabilities for greater portability and convenience.
AT&T also offers the wireless coverage worldwide, offering the most phones — including the BlackBerry Bold — that work in the most countries, with voice calling in more than 215 countries and data service in more than 170 — including 3G data service in more than 80 countries. Because AT&T operates on GSM, the undisputed global technology standard for wireless services, its subscribers enjoy the convenience of using their handsets nearly anywhere in the world.
"Wireless continues to be AT&T’s greatest growth driver, and this transaction will complement our existing network coverage, particularly in rural areas," said Ralph de la Vega, president and CEO, AT&T Mobility and Consumer Markets. "The acquisition will add network assets, distribution channels and 850 MHz spectrum in a significant portion of the U.S., enabling even better coverage for AT&T’s subscribers in those areas."
"The subscribers who join the AT&T family will realise significant benefits, including access to AT&T’s 3G broadband network — the nation’s fastest — and to an industry-leading lineup of iconic devices — from the latest smartphones for business users to quick messaging phones for texting teens," added Ralph.
Under terms of the agreement, AT&T will purchase the assets for $2.35 billion in cash. The transaction primarily represents former Alltel assets, but it also includes assets from Verizon Wireless and the former Rural Cellular Corporation. Source
After operations transition to AT&T, the primarily rural subscribers added through this transaction will be able to experience mobile broadband on all the smartphones AT&T offers. AT&T is said to lead the industry in smartphones — including iPhone 3G — and it also allows subscribers to access AT&T’s 3G and Wi-Fi networks using the nation’s lineup of ultralight netbooks with embedded wireless capabilities for greater portability and convenience.
AT&T also offers the wireless coverage worldwide, offering the most phones — including the BlackBerry Bold — that work in the most countries, with voice calling in more than 215 countries and data service in more than 170 — including 3G data service in more than 80 countries. Because AT&T operates on GSM, the undisputed global technology standard for wireless services, its subscribers enjoy the convenience of using their handsets nearly anywhere in the world.
"Wireless continues to be AT&T’s greatest growth driver, and this transaction will complement our existing network coverage, particularly in rural areas," said Ralph de la Vega, president and CEO, AT&T Mobility and Consumer Markets. "The acquisition will add network assets, distribution channels and 850 MHz spectrum in a significant portion of the U.S., enabling even better coverage for AT&T’s subscribers in those areas."
"The subscribers who join the AT&T family will realise significant benefits, including access to AT&T’s 3G broadband network — the nation’s fastest — and to an industry-leading lineup of iconic devices — from the latest smartphones for business users to quick messaging phones for texting teens," added Ralph.
Under terms of the agreement, AT&T will purchase the assets for $2.35 billion in cash. The transaction primarily represents former Alltel assets, but it also includes assets from Verizon Wireless and the former Rural Cellular Corporation. Source
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