T-Mobile Announces UScellular Acquisition, Promises Improved Connectivity in Rural Areas
T-Mobile today announced plans to purchase UScellular's wireless operations for $4.4 billion, a deal that includes UScellular's wireless customers, stores, and select cellular spectrum.
According to T-Mobile, the purchase will provide millions of UScellular customers access to the T-Mobile network, improving connectivity in underserved rural areas. T-Mobile also plans to use the spectrum and wireless assets from UScellular to expand its home broadband offerings.
T-Mobile's press release suggests that wireless customers across the United States will "benefit from enhanced choice and competition," wording aimed at the federal regulators who will need to approve the deal. UScellular will retain ownership of some of its spectrum and its towers, with T-Mobile planning to lease space on approximately 2,000 towers.
UScellular customers will have the option to stay on their existing plans or move to an unlimited T-Mobile plan with no switching costs.
T-Mobile has previously acquired MetroPCS and Sprint, with the latter merger occurring in 2020 after it was previously called off in 2014. U.S. regulators have been concerned with the lack of a fourth major carrier in the United States and could be hesitant to approve yet another T-Mobile purchase.
T-Mobile says that the deal should close in mid-2025.
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