The Federal Communications Commission approved AT&T’s acquisition of wireless spectrum licenses from U.S. Cellular for $1.02 billion. The deal adds mid‑band 3.45 GHz and low‑band 700 MHz spectrum to AT&T’s portfolio, expanding its 5G footprint in key markets.
A key condition of the approval was AT&T’s commitment to discontinue its diversity, equity and inclusion programs, a policy that aligns with the FCC’s Trump‑era stance on corporate DEI initiatives. The condition was applied to AT&T, not U.S. Cellular, and was a prerequisite for the regulatory clearance.
Mid‑band spectrum is the “sweet spot” for 5G, offering a balance of speed, capacity and coverage that is essential for dense urban and suburban deployments. By adding this spectrum, AT&T moves closer to its goal of covering 300 million people with 5G by the end of 2026 and strengthens its competitive position against T‑Mobile and Verizon.
U.S. Cellular has been divesting spectrum assets as part of a broader strategy to focus on its core network. T‑Mobile also acquired spectrum from U.S. Cellular, and rural carriers have expressed concerns that the consolidation could reduce competition and raise prices in underserved areas.
The FCC approval removes a major regulatory hurdle, allowing AT&T to accelerate its network rollout. However, the DEI condition raises questions about corporate diversity policies, and rural carriers’ concerns highlight the broader debate over spectrum consolidation and its impact on competition.
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