Verizon Wireless picks up Californian carrier: Carrier consolidation continues

Verizon Wireless signed an agreement to purchase SureWest Communications’ wireless assets in Northern California for $69 million, the companies announced.
Under terms of the deal, Verizon Wireless will acquire the company’s spectrum licenses and more than 50 communication towers. SureWest served more than 50,000 wireless subscribers with flat-rate unlimited local calling plans as of the third quarter of 2007. The carrier’s spectrum licenses cover a population of 3.8 million in the greater Sacramento area.
The licenses overlap with areas currently served by Verizon Wireless, but the No. 2 carrier said the move would expand its capacity in the area.
“Over the past two years we have made great strides in transforming SureWest into a full-service integrated communications company,” SureWest’s President and CEO Steve Oldham said. “The sale of the wireless assets is another important step in this transformation and will enhance our financial flexibility in supporting the extension of our triple-play offerings to a broader service area. We believe our customers will respond positively to being transitioned to such a respected national provider.”
The sale, which is subject to federal regulatory approval, is expected to close sometime next quarter.
Verizon Wireless’ buy is just the latest in a long string of carrier consolidations. Verizon Wireless itself is working to finish its purchase of Rural Cellular Corp., while AT&T Mobility recently acquired Dobson Communications Corp. and Easterbrooke Cellular Corp. and T-Mobile USA Inc. is in the process of acquiring SunCom Wireless Holdings Inc.