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Verizon Buying Cincinnati Bell’s Spectrum for $210M

By Ben Munson | April 7, 2014

Cincinnati Bell today announced it is winding down its wireless network operations and selling its spectrum licenses and other assets to Verizon Wireless in a deal valued at $210 million.

The regional operator, headquartered in Cincinnati, will lease back its spectrum from Verizon for a period of time while it shuts down its network operations and assists its customers in moving to Verizon or another wireless provider.

“We appreciate the loyal support from our Cincinnati Bell Wireless customers over the last sixteen years, and we remain committed to providing them with wireless service and support throughout the transition period,” Cincinnati Bell President and CEO Ted Torbeck said in a statement.

Cincinnati Bell customers don’t need to do anything right away. The companies expect the deal to close in the second quarter of 2014 and at that time it will send out more information about the transition. Cincinnati Bell said it expects to continue providing wireless service for 8-12 months following the closure of the transaction.

“It has become economically challenging for us to invest in our wireless business at the levels necessary to deliver best-in-class service to our customers,” Torbeck said in a statement, adding that the divesture will allow Cincinnati Bell to focus more on its Fioptics suite of products.

For Verizon’s part, it will get a hold of a substantial swath of spectrum. Cincinnati Bell’s holds 50 MHz in the Cincinnati area and 40 MHz in Dayton, Ohio, with licenses located in the 1.7/2.1 GHz and 1.9 GHz bands.


Filed Under: Carriers

 

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