AT&T to buy Alltel for $780 million

The purchase covers 585,000 mobile customers in six states

The parent company of Alltel, a mobile telephone network serving rural customers in six states, has agreed to sell the business to AT&T for about US$780 million, Atlantic Tele-Network announced Tuesday.

The all-cash transaction will give Alltel customers access to a nationwide 4G mobile network, a larger selection of mobile devices and additional retail locations, Michael Prior, Atlantic Tele-Networks CEO said in a press release. Many of the company's employees will benefit from new career opportunities at the larger company, he added.

Atlantic Tele-Network's Alltel serves 585,000 mobile customers in Georgia, North Carolina, South Carolina, Illinois, Ohio and Idaho, while AT&T has about 106 million mobile customers across the U.S. Alltel had about $350 million in revenue in the first nine months of 2012.

The transaction is subject to approval from the U.S. Department of Justice and the U.S. Federal Communications Commission. The companies expect the deal to be final in the second half of the year.

Atlantic Tele-Network will continue to operate telecom services in the Southwest U.S., New England, rural New York and other locations after selling Alltel. Atlantic Tele-Network will use some of the money for new acquisitions, a possible reduction in debt, and investments in its existing businesses, Prior said.

Grant Gross covers technology and telecom policy in the U.S. government for The IDG News Service. Follow Grant on Twitter at GrantGross. Grant's e-mail address is grant_gross@idg.com.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags Mergers and acquisitionsbusiness issuestelecommunicationat&tU.S. Department of JusticeU.S. Federal Communications CommissionAtlantic Tele-NetworkMichael Prior

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Grant Gross

IDG News Service
Show Comments

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Laura Johnston

MSI GS65 Stealth Thin

If you can afford the price tag, it is well worth the money. It out performs any other laptop I have tried for gaming, and the transportable design and incredible display also make it ideal for work.

Andrew Teoh

Brother MFC-L9570CDW Multifunction Printer

Touch screen visibility and operation was great and easy to navigate. Each menu and sub-menu was in an understandable order and category

Louise Coady

Brother MFC-L9570CDW Multifunction Printer

The printer was convenient, produced clear and vibrant images and was very easy to use

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Featured Content

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?