Amid heavy speculation about a possible buyout of the fourth-largest wireless operator, T-Mobile announced Monday it has entered into an agreement to acquire spectrum from top rival Verizon Wireless in a $3.3 billion deal.
Reports say T-Mobile, which is majority owned by Deutsche Telekom, will pay $2.36 billion in cash for $950 million worth of airwaves. Reports first announced last November that T-Mobile was looking into a spectrum buyout from Verizon.
According to T-Mobile, the spectrum will be in use within the fourth quarter of this year, though the deal remains subject to regulatory clearance.
The spectrum grab comes just weeks after speculation boomed that rival Sprint could be looking to acquire T-Mobile, its closest rival. Softbank is also rumored to be close to making an offer for the carrier.
The Federal Communications Commission blocked fourth rival AT&T from acquiring T-Mobile several years ago.