BEDMINSTER, NJ — Verizon Wireless and NextWave Telecom Inc. announced today they have completed the transaction, originally announced in November, for Verizon Wireless to purchase all of NextWave's PCS spectrum licenses, in 23 markets around the country, for $3.0 billion.
The 10 and 20 MHz licenses, in the 1.9 GHz PCS frequency range, cover a population of 73 million people. The purchase price equates to $2.85 per MHz POP. The licenses will be used to expand Verizon Wireless' network capacity in 22 key existing markets, including New York, Boston, Washington, D.C. and Los Angeles, as well as to expand the company's footprint into Tulsa, Oklahoma.
"We will put this spectrum to work in our network to benefit customers, by having the long-term capacity in place when they need it to meet their growing demand for wireless voice and data services," said Denny Strigl, president and CEO of Verizon Wireless. "This purchase is part of our long-standing strategy of continual network enhancements to provide our customers with the most reliable wireless network and, therefore, the most satisfying wireless experience."
The licenses were acquired through the purchase of NextWave Telecom. As a result of Nextwave Telecom's bankruptcy reorganization, the licenses are that entity's only assets. Pursuant to the reorganization, NextWave Telecom's other assets were transferred to the control of a separate entity, NextWave Wireless LLC, which was not acquired by Verizon Wireless.
Following are the markets included in this transaction:
Spectrum licenses for 20 MHz in:
New York, N.Y.
Spectrum licenses for 10 MHz in:
Los Angeles, Calif.
Corpus Christi, Texas
Daytona Beach, Fla.
Atlantic City, N.J.
El Centro, Calif.
About Verizon Wireless
Verizon Wireless owns and operates the nation's most reliable wireless network, serving 43.8 million voice and data customers. Headquartered in Bedminster, NJ, Verizon Wireless is a joint venture of Verizon Communications (NYSE:VZ) and Vodafone (NYSE and LSE: VOD). Find more information on the Web at www.verizonwireless.com. To receive broadcast-quality video footage and high-resolution stills of Verizon Wireless operations, log on to the Verizon Wireless Multimedia Library at www.verizonwireless.com/multimedia.