Sprint Nextel Corporation (S) Completes Acquisition Of U.S. Cellular Spectrum

Posted May 19, 2013

Sprint Nextel Corporation (NYSE:S) has completed the acquisition of spectrum from U.S. Cellular.  Sprint will gain ownership of 20MHz in airwaves across the Midwest.  This includes 20MHz PCS spectrum in cities like Chicago and South Bend and 10MHz PCS spectrum in St. Louis.  This additional spectrum will enable Sprint to increase their network capacity and further improve the customer experiences in those markets.  This transaction also includes around 420,000 U.S. Cellular customers.

Sprint and U.S. Cellular notified affected customers and Sprint will send them details about the transition, which will take place over several months.  Sprint, Boost Mobile, Virgin Mobile, and payLo are providing special offers and incentives for affected customers that will reduce the cost of acquiring a new device to transition from the U.S. Cellular network.  In many of the cases, affected customers will be able to switch from their current device to a similar or better device.  The affected customers will not be hit with the dreaded ETFs.

“We know how important good value, network performance and excellent service are to these customers and Sprint has a wide portfolio of competitive devices, prepaid options, an improved 3G and growing 4G LTE network experience, and unlimited data, text and voice plans to meet their wireless needs,” stated Sprint chief sales officer Paget Alves. “We want their business and are motivated to make the transition as seamless as possible.”