Verizon Wireless and Cricket yesterday announced that they had agreed to an exchange of 700 MHz spectrum in the Chicago area. The deal now goes to the FCC for approval.

Verizon Wireless and Cricket will each transfer spectrum that for the most part is not being used to a provider that can make efficient use of the spectrum to serve its customers.

According to a filing with the FCC, Verizon will provide Cricket with additional spectrum it needs in the Chicago area to expand its service offerings and to deploy LTE network technology, which will allow it to offer improved broadband data services and to continue to compete with other carriers in that market.

Further, the proposed license assignments will enable Verizon Wireless to add spectrum capacity in some markets that will help address the rapidly growing demand of its customers for broadband wireless services.

More specifically, Verizon Wireless will hand over Block A 700 MHz license for the Chicago BEA to Cricket. In return, Cricket will give Verizon Wireless 23 PCS licenses and 13 AWS-1 licenses in full; disaggregated portions of one PCS license and one AWS-1 license; and partitioned portions of three AWS-1 licenses.

According to the filing, there will be no loss of an existing service provider in any of the local markets. Nor is the FCC’s spectrum screen triggered in any of the markets.