AT&T Wireless Services Inc [AWE], the second largest wireless carrier in the US, has purchased US Cellular’s TDMA wireless operations in southern Texas for $95 million in cash.
The Texas cellular network serves 74,000 customers and covers a population of more than 1.3 million people. The purchase complements ATT Wireless’s nationwide TDMA and GSM/GPRS networks, expanding its footprint in south-central Texas as well as giving AT&T better control of its roaming costs, by tying together existing networks in Houston, San Antonio, and Austin.
The deal is expected to close in the first quarter next year, subject to federal regulatory approval.
AT&T Wireless has 21.8 million subscribers in the US, and revenue of more than $16.5 billion. However, earlier this month it laid off about 10% of its workforce to cut costs and outsource some of its IT services operations to lower cost destinations like India.
This article was based on material originally published by ComputerWire.