UScellular has announced a significant deal with Verizon Communications to sell a portion of its spectrum assets for $1.0 billion. The sale includes 663 million MHz POPs of Cellular (850 MHz) spectrum and additional AWS and PCS licenses. This move aligns with UScellular’s strategy, announced earlier in 2024, to monetize select spectrum assets. In addition to the Verizon deal, UScellular has also reached agreements with two other mobile network operators to sell 12 million MHz POPs of spectrum in the CBRS, C-Band, and 700 MHz bands. These transactions will require regulatory approval and are contingent on the completion of a separate sale to T-Mobile.
CEO Laurent C. Therivel expressed optimism about the agreements, emphasizing that the spectrum will be utilized to benefit consumers across the U.S. TDS, UScellular’s majority shareholder, has already approved the Verizon transaction. After these sales, UScellular will still retain a substantial portfolio of spectrum assets, including 3.4 billion MHz POPs of low and mid-band spectrum and 17.2 billion MHz POPs of mmWave spectrum, which the company plans to continue monetizing.
Key Points:
• UScellular sells select spectrum assets to Verizon for $1.0 billion.
• Additional spectrum sales to two other mobile network operators.
• Spectrum sales are part of a broader strategy announced in May 2024.
• TDS has approved the Verizon deal, with regulatory approvals pending.
• UScellular retains significant spectrum holdings for future monetization.
