T-Mobile UScellular Deal Clears DOJ Antitrust Review; FCC Approval Pending

The US Department of Justice has closed its investigation into T-Mobile's proposed acquisition of UScellular, but the transaction still requires approval from the Federal Communications Commission. Both companies are actively discussing the proposal with the FCC. The acquisition would expand T-Mobile's wireless services to 21 states and add 4.4 million retail connections to its customer base.

The U.S. Department of Justice (DOJ) has concluded its investigation into T-Mobile US Inc.'s proposed acquisition of US Cellular Corp., but the transaction still requires approval from the Federal Communications Commission (FCC). Both companies are actively engaged in discussions with the FCC regarding the proposed deal.

The acquisition, valued at $4.4 billion, would expand T-Mobile's wireless services to 21 states and add 4.4 million retail connections to its customer base. T-Mobile announced the deal with US Cellular last May and planned to close it by mid-2025. The company had to overcome several regulatory hurdles, including addressing the FCC's criteria for ending diversity, equity, and inclusion (DEI) efforts.

In a significant move, T-Mobile committed to eliminating its DEI programs to win the favor of the FCC. The company wrote to FCC Chair Brendan Carr, stating that "merit is how you advance at our company, regardless of who you are or where you’re from" [1]. This change was necessary for the FCC to approve the deal.

The DOJ had previously raised concerns about the high level of consolidation in the wireless industry but did not block the transaction. The DOJ believed that US Cellular's smaller size would eventually have led to its demise without the deal. The DOJ also expressed concern about the potential effects of the transaction on competition and the availability of wireless spectrum [2].

The FCC's approval 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. The deal also allows T-Mobile to incorporate some of US Cellular’s spectrum licenses and leases into its nationwide network, while US Cellular will retain about 70% of its spectrum and all of its wireless towers [1].

The transaction is subject to regulatory approval and the satisfaction of all closing conditions. Once finalized, T-Mobile US will be positioned to offer its customers a more extensive range of wireless services and spectrum licenses. The potential impact on competition and market dynamics will be closely watched by industry stakeholders and regulatory bodies.

References:
[1] https://www.bloomberg.com/news/articles/2025-07-11/fcc-greenlights-t-mobile-s-4-4-billion-us-cellular-acquisition
[2] https://www.gurufocus.com/news/2973248/uscellular-announces-fcc-approval-for-sale-of-wireless-operations-and-select-spectrum-assets-tds-stock-news