AT&T seeks FCC’s approval for spectrum transfer to T-Mobile
In a formal request to the US Federal Communications Commission (FCC), AT&T and T-Mobile have sought the commission approval for the transfer of $1 billion in wireless spectrum which AT&T had promised to T-Mobile in case the proposed move to merge the two carriers failed to materialize.
With AT&T's proposed $39 billion acquisition of T-Mobile having fallen through on December 19, Tom Sugrue - Senior VP for government affairs at T-Mobile - said in a statement to the Wall Street Journal that the additional spectrum was required by the company to meet the increasing demand for wireless broadband services.
Since T-Mobile already announced in late December that $3 billion in cash was due from AT&T to the company, which was also set to receive AWS wireless spectrum in as many as 128 markets, including 12 of the 20 leading markets in the US, Sugrue said that it was being hoped that the FCC will "move swiftly" in its process of approval of the license agreements.
Going by a GigaOM report, T-Mobile will gain specific licenses in some of the most important US cities, allowing for holdings between 60 and 80 MHz of combined AWS and PCS airwaves in most of the markets the wireless spectrum transfer pertains to.
Meanwhile, CNET's Maggie Reardon has also said in a recent report that the additional spectrum will be used by T-Mobile to expand its toehold in the US, by offering improved broadband coverage as well as securing a roaming agreement onto the AT&T network for over seven years.
