AT&T Makes Deal with Verizon Wireless
Reporter: Associated Press
NEW YORK (AP) AT&T Inc. is buying the assets of Verizon
Wireless in 79 mainly rural areas for $2.35 billion.
Verizon Wireless is forced to sell the service areas, which are
spread over 18 states, to satisfy regulatory conditions of its
purchase of Alltel Corp. The areas are mainly Alltel territories
that overlap with Verizon’s own coverage.
AT&T is getting spectrum licenses, cell towers and 1.5 million
subscribers in the deal, the companies said late Friday. Since AT&T
phones aren’t compatible with Alltel or Verizon phones, these
subscribers will need new phones to use AT&T’s network.
The states with areas included in the deal are Alabama, Arizona,
California, Colorado, Iowa, Kansas, Michigan, Minnesota, Montana,
Nebraska, Nevada, New Mexico, North Dakota, South Dakota,
Tennessee, Utah, Virginia and Wyoming.