T-Mobile Announces UScellular Acquisition, Promises Improved Connectivity in Rural Areas

[MacRumors]

T-Mobile today announced plans to purchase UScellular's wireless operations for $4.4 billion, a deal that includes UScellular's wireless customers, stores, and select cellular spectrum.

According to T-Mobile, the purchase will provide millions of UScellular customers access to the T-Mobile network, improving connectivity in underserved rural areas. T-Mobile also plans to use the spectrum and wireless assets from UScellular to expand its home broadband offerings.

T-Mobile's press release suggests that wireless customers across the United States will "benefit from enhanced choice and competition," wording aimed at the federal regulators who will need to approve the deal. UScellular will retain ownership of some of its spectrum and its towers, with T-Mobile planning to lease space on approximately 2,000 towers.

UScellular customers will have the option to stay on their existing plans or move to an unlimited T-Mobile plan with no switching costs.

T-Mobile has previously acquired MetroPCS and Sprint, with the latter merger occurring in 2020 after it was previously called off in 2014. U.S. regulators have been concerned with the lack of a fourth major carrier in the United States and could be hesitant to approve yet another T-Mobile purchase.

T-Mobile says that the deal should close in mid-2025.

Article Link: T-Mobile Announces UScellular Acquisition, Promises Improved Connectivity in Rural Areas

 

[iksretep]

Edit: I've been subscribed to T-Mobile's One International plan since its launch and have just experienced a price increase - which for the most part was pretty amazing that the price lasted this long ... Even though I've extensively used this plan, there have been prolonged periods when I did not. I wish T-Mobile would focus on enhancing existing services. The in-flight connection for example has never worked for me ... wish they stuck to improving current offers instead of focusing on expansion/improvements of "new" things.

 

[Morod]

Consolidation is never good for consumers, IMO.

 

[SierraVista]

And there goes the last “big” regional carrier.

I’m old enough to remember when Sprint ruined the Nextel iDEN network (imagine an iDEN iPhone with a PTT button!). Consolidation is not a good thing.

 

[Viridian5]

Price increase for many last week, acquisition this week. But what’s the thing they tell all us regular people? “Don’t buy it if you can’t afford it”. 🤔

 

[imspace2]

They also purchased (bought back) MVNO Mint Mobile’s customers. I like my decent $33mo 40gb service thanks!

 

[turbineseaplane]

I no longer trust T-Mobile about anything

 

[dampfnudel]

Consolidation is never good for consumers, IMO.

As a T-Mobile One subscriber, I learned that last week. If you learned that as a T-Mobile subscriber too, let the FCC know that they broke their un-contract promise that only you can change the price. They still have that 2017 press release on their website.

https://consumercomplaints.fcc.gov/hc/en-us/articles/360001201223-Phone-Form-Descriptions-of-Complaint-Issues

 

[ssspinball]

Would love to hear T-Mobile explain how removing a competitor results in “enhanced choice and competition”.

Don’t piss on our heads and tell us it’s raining!

 

[gugy]

I hope they improve reception in San Diego. Too many dead spots.

 

[freediverx00]

The FCC is useless. Sic Lina Kahn on them.

 

[rictus007]

US Mobile works for me - secondary line for ˜$70 per year (unlimited voice and text) - With T-mobile the more affordable, plan is for about $20/m (unlimited voice and text)

 

[neuropsychguy]

Consolidation is never good for consumers, IMO.

It can be, if it improves quality and/or keeps quality and reduces costs. Costs can go down through improved economies of scale. Quality can go up for people using the acquired company's services if the purchasing company offers better service than the old one.

That's not always or typically what happens though.

 

[Graphate]

I hope they improve reception in San Diego. Too many dead spots.

It would be nice, but this won’t help San Diego unless US Cellular leases towers in the location. Continuing your ideas, it would be nice if roaming was more common, i.e. connect to the nearest/strongest tower, ignoring the tower owner.

I wonder if it would be better if people were able to roam to the cheapest network. The feasibility aside, it might feel a little strange to pay per minute, but then T-Mobile, AT&T, and Verizon would really be competing.

 

[AgentOSX]

I split time between a VERY rural home on the edge of a national forest and Los Angeles. T-Mo is great in LA. I made the switch because they promised - and showed - coverage at my rural house... which was a lie. I get roaming from AT&T there and limited to 3 mbps when I used to get 40 MBPS from AT&T. T-Mo guaranteed the same coverage and then when I pointed out they deceived me they warned me that too much roaming coverage will get my lines cancelled.

 

[AgentOSX]

I hope they improve reception in San Diego. Too many dead spots.

Interesting. T-Mo is great in Los Angeles.

 

[turbineseaplane]

US Mobile works for me

Me too -- I wonder how long until they are gone too

 

[Victor Mortimer]

US Hellular wasn't price competition for anybody. They've always been expensive.

Back when their competition was Cellular One, they were competitive. But phone calls were $0.25/minute back then, long distance calls cost extra, text messages didn't exist, if you were out of town somebody had to call that city's roaming number then your cell number to call you, you DID NOT make or answer calls while roaming unless it was an emergency because roaming charges were a dollar a minute, and you could listen to cell phones with a scanner.

I'm still not in favor of consolidation, I hope the FTC smacks this down hard. But it's not going to have any effect on prices, they're surviving on legacy customers who don't price shop.

 

[NervousFish2]

T-mobile under Legere promised the most aggressive pricing around. That's all ancient history now. T-mobile still has the best customer service (hands down) but I think soon people will be referring to "T-mob tax" the way so many already refer to "Apple tax".

 

[McWetty]

I really don’t like these steps TMo is taking… doubt I’ll continue my subscription with them next year. Unfortunately, VZW is worse (business wise) and ATT is awful service in my area. Not many choices left for unlimited plans.

 

[DWC23093]

Based on past and ongoing performance by T-Mobile in rural Louisa, VA, the promise of 2000 new towers is just pumping more sunshine up the butts of rural subscribers. After opening a local store here in 2018, service began to degrade for both phone and home internet, and the deadzones that existed then are still there in 2024. Current service is now so bad that no matter how many bars of 5GUC are showing you’re lucky to get 1Mbps of actual service. Calls from the executive response unit to my FCC complaint led to an admission that they know their towers in the area are oversubscribed and that they have no plan in action to improve things anytime before 10 years out.

 

[jb310]

A big company "acquiring" smaller competition? I'm sure this will end really well for consumers. 💀

 

[orbek]

I am sick of these empty promises. They always claim they have the best network but it sucks everywhere. You pay very high prices compare to other countries and still get a bad service.
That's why I lately I migrate to an okay MVNO that provide okay speed and coverage and I don't have to cry regret every-month. It is only $5/month for 30gb and since I am most of the time Home or at work with wifi, I barely reach half of that.

 

[splifingate]

And there goes the last “big” regional carrier.

I’m old enough to remember when Sprint ruined the Nextel iDEN network (imagine an iDEN iPhone with a PTT button!). Consolidation is not a good thing.

 

[itti]

Less competition, more price increase