Verizon Wireless is to acquire 122 spectrum licences covering a population of 259 million, in a US$3.6 billion deal.
In a statement, Dan Mead (pictured), president and CEO of the company, said: “buying the AWS spectrum now solidifies our network leadership into the future, and will enable us to bring even better 4G LTE products and services to our customers.”
Verizon is buying the frequencies from SpectrumCo, a joint venture of cable companies Comcast, Time Warner Cable, and Bright House Networks.
In line with the transaction, the group has also entered into a number of agreements covering the sale of various products and services. This means that: “the cable companies, on the one hand, and Verizon Wireless, on the other, will become agents to sell one another’s products and, over time, the cable companies will have the option of selling Verizon Wireless’ service on a wholesale basis.”
The partners are also forming an “innovation technology joint venture” to better integrate fixed and mobile products and services.
The sale and transfer of the spectrum is subject to approval by the FCC and other closing conditions.