FCC approves AT&T $1 billion purchase of spectrum from UScellular

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By David Shepardson

WASHINGTON, Dec 4 (Reuters) – The Federal Communications Commission said on Thursday it has approved AT&T’s deal to buy some wireless spectrum licenses from UScellular in a $1.02 billion deal after the Texas-based carrier committed to end DEI programs.

The FCC has been requiring telecom carriers to end diversity, equity and inclusion programs as a condition of approving transactions since President Donald Trump returned to office in January. The FCC said the deal will result in “enhancing AT&T’s network coverage, capacity and performance resulting in a better customer experience.”

The Rural Wireless Association said it opposed the approval, saying it continued a “trend of consolidation that harms competition and disserves the public interest, especially for members of the public living, working, and traveling in rural America.” The trade group said the deal will lead to increased rates and difficulties with roaming.

AT&T said in a letter to the FCC released on Tuesday it “does not and will not have any roles focused on DEI.”

In July, wireless carrier T-Mobile US said it was ending its DEI programs as it sought regulatory approval for two major deals, including buying almost all of UScellular’s wireless operations together with its customers, stores and 30% of its spectrum assets in a deal valued at $4.4 billion.

The FCC in May approved Verizon Communications’ $20 billion deal to acquire fiber-optic internet provider Frontier Communications after Verizon agreed to end its DEI program.

FCC Chair Brendan Carr, a Republican designated by Trump to lead the agency in January, told Comcast in February he was opening a probe into the NBC News-parent company’s promotion of DEI programs. In January, Trump issued sweeping executive orders to dismantle U.S. government DEI programs, and pressured the private sector to join the initiative.

(Reporting by David Shepardson; Editing by Paul Simao)