December 17, 2011
Verizon Buys Wireless Spectrum From Cox Communications
Cox Communications announced that it plans to sell 20Mhz of its wireless spectrum to Verizon Wireless for $315 million covering 28 million US residents.
If the purchase garners FCC and antitrust approval, it will give Verizon Wireless an avenue to strengthen its mobile network and open up other avenues to sell its services.
According to Pat Esser, president of Cox Communications, “These agreements provide Cox customers with key enablers to mobility, such as access to Verizon Wireless´s 4G LTE network and iconic wireless devices. We look forward to the many benefits this will bring to customers.”
Earlier this month Verizon bought the spectrum licenses from SpectrumCo, which consisted of the largest US cable companies, Comcast, Time Warner Cable and Bright House Networks. The cable companies have been venturing in the wireless business with little success, they specialize in home video, data and voice services.
Verizon and other wireless carriers are buying up the bandwidth to help avert congestion of its wireless networks as more consumers turn toward data intensive smartphones.
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