AT&T today announced that it will buy spectrum licenses in the Lower 700 MHz frequency band from Qualcomm for US$1.925 billion. The spectrum covers over 300 million people across the US and will be used as part of AT&T’s LTE deployment.
As part of its longer-term 4G network plans, AT&T intends to deploy this spectrum as supplemental downlink, using carrier aggregation technology. This technology is designed to deliver substantial capacity gains.
The sale should close during the second half of 2011. Deployment will then begin once compatible handsets and network equipment are developed.
Qualcomm previously used this spectrum for its FLO TV service. It will shut down this service by March 2011.