AT&T asks FCC for spectrum transfer to T-Mobile

Following their failed merger, AT&T and T-Mobile formally asked the Federal Communications Commission to approve the transfer of $1 billion in wireless spectrum.

by Kent German

January 24, 2012 6:42 PM PST Follow @KentGerman

(Credit: CNET)

T-Mobile and AT&T formally asked the Federal Communications Commission today to approve the transfer of $1 billion in wireless spectrum due to T-Mobile following following the failed merger between the two carriers.

In a statement to the Wall Street Journal, Tom Sugrue, T-Mobile's senior vice president for government affairs, said that the additional spectrum will help the carrier meet the growing demand for wireless broadband services. "We hope the FCC will move swiftly to approve the license assignments," he wrote.

Late last month, T-Mobile announced that it was set to receive AWS wireless spectrum in 128 markets, including 12 of the top 20 markets, along with $3 billion in cash from AT&T. As CNET's Maggie Reardon reported, the carrier will use the spectrum to expand its footprint in the U.S. and offer better broadband coverage while securing a roaming agreement onto AT&T's network for more than seven years.

The proposed $39 billion deal, which was first announced last March, eventually collapsed Dec. 19 after intense opposition from not only the FCC and the Justice Department, but also state attorneys general and rival carriers, most notably Sprint.