T-Mobile US Inc. Receives FCC Approval to Acquire US Cellular for $4.4 Billion, Gains 4.5 Million New Customers Across 21 States.

The FCC has approved T-Mobile's $4.4 billion acquisition of US Cellular, expanding T-Mobile's customer base and allowing it to incorporate US Cellular's spectrum licenses and leases into its network. The deal comes after T-Mobile committed to eliminating diversity and inclusion programs to win FCC approval, and follows the US Justice Department's decision not to challenge the deal on antitrust grounds. The acquisition is expected to result in network benefits for customers of both T-Mobile and US Cellular.

The Federal Communications Commission (FCC) has cleared T-Mobile's $4.4 billion acquisition of US Cellular, marking a significant milestone in the telecommunications industry. The approval expands T-Mobile's customer base and allows it to integrate US Cellular's spectrum licenses and leases into its network. This deal follows T-Mobile's commitment to eliminate diversity and inclusion programs to secure FCC approval, and the US Justice Department's decision not to challenge the deal on antitrust grounds.

The acquisition, announced in May 2024, will add approximately 4.5 million customers to T-Mobile's network, solidifying its position as the second-largest wireless carrier in the United States. T-Mobile will also incorporate US Cellular's spectrum licenses and leases, enhancing its network capabilities and coverage. The deal is expected to result in substantial network benefits for customers of both T-Mobile and US Cellular, including additional capacity and coverage benefits, as well as improved fixed wireless access service with higher speeds and capacity [3].

The FCC's approval comes after T-Mobile committed to ending its diversity, equity, and inclusion (DEI) programs and policies. This strategic move aimed to address the FCC's concerns and secure regulatory approval. T-Mobile's decision to scrap DEI initiatives has drawn criticism from some quarters, with some arguing that it undermines the company's commitment to diversity and inclusion. However, the FCC's Chairman Brendan Carr has praised the move as a "good step forward for equal opportunity, nondiscrimination, and the public interest" [2].

The US Justice Department's decision not to challenge the deal on antitrust grounds further underscores the regulatory support for the acquisition. The DOJ acknowledged that while the merger consolidates the wireless industry, it deemed US Cellular unfit to compete with the "Big 3" carriers: T-Mobile, AT&T, and Verizon. The DOJ's non-opposition reflects the Biden administration's focus on infrastructure investment, particularly in the rollout of 5G technology [1].

The acquisition is expected to accelerate T-Mobile's path to profitability by avoiding costly tower construction. US Cellular will retain 70% of its spectrum and all of its wireless towers, positioning itself as a niche infrastructure player. This deal also aligns with the FCC's Build America Agenda, which aims to unleash new builds, encourage greater investment, and expand network capacity [3].

In conclusion, the FCC's approval of T-Mobile's acquisition of US Cellular represents a significant development in the telecommunications industry. The deal is expected to result in network benefits for customers and aligns with the regulatory focus on infrastructure investment and 5G rollout. However, the long-term implications of T-Mobile's decision to scrap its DEI programs remain to be seen.

References:
[1] https://mynorthwest.com/local/doj-t-mobile-u-s-cellular/4109132
[2] https://www.upi.com/Top_News/US/2025/07/11/business-DEI-Tmobile-FCC-approval/6051752259078/
[3] https://www.bloomberg.com/news/articles/2025-07-11/fcc-greenlights-t-mobile-s-4-4-billion-us-cellular-acquisition