T-Mobile Jump (presser, John Legere)

It is no secret that T-Mobile USA, the nation’s fourth-largest wireless carrier, could use some additional spectrum to expand its network and improve the quality of its coverage.

According to Reuters, the Deutsche Telekom-owned telco is mulling the possibility of buying $3 billion worth of additional spectrum from its rival Verizon Wireless.

A source familiar with the matter told Reuters yesterday evening that T-Mobile might agree to the price as it needs more to bolster up its network coverage and quality…

Reuters wrote:

While T-Mobile has approached Verizon about buying the spectrum, the process is still in the early stages, according to the source, who asked not to be named. The source was not authorized to discuss the matter.

The company actually made it known on November 12 that it was open to look into as many avenues as possible to boost its network. One of the avenues calls for raising money for spectrum deals as the telco hinted it was considering buying airwaves from a private party, though the company refused to divulge names of potential sellers.

What else do we know?

Perhaps surprisingly, T-Mobile won’t be bidding in January 2013 U.S. government auction for H-Block spectrum. Instead, the proceeds from sale of more than 72 million shares worth about $2 billion will be used toward purchase of existing spectrum.

Verizon Communications, which owns Verizon Wireless, hinted recently it might sell A Block airwaves in the 700 megahertz frequency band as it is not using these airwaves.

You do the math.

T-Mobile’s LTE reaches 203 million people in 254 U.S. cities, including 94 of top 100 areas.

AT&T’s LTE as of November 7, 2013 was in 461 U.S. markets. Rival Verizon announced back in June its now-complete 4G footprint included 500 U.S. cities at the time.

T-Mobile during the September quarter moved 540,000 iPhones, which represents fifteen percent of their branded devices. That’s actually a solid number given that the new iPhone 5s/5c arrived on September 20 – the figure includes only the quarter’s last ten days of iPhone 5s/5c sales.

T-Mobile finally landed the iconic smartphone on April 12, 2013 along with its new Simple Choice plan and Un-carrier initiative.

Finally, we know from a company statement that T-Mobile moved more tablets on iPad Air launch day “than entire last quarter,” but that’s not really a number.

  • n0ahcruz3

    Buying more spectrum then slowly and steadily raising the monthly payments. And eventually killing off unlimited data 😛

  • pauleebe

    Doesn’t make sense, since Verizon’s CFO has openly admitted it’s having bandwidth troubles of it’s own.

    • Albert

      is this recent? i got a lot of my Verizon friends having issues with their LTE connections lately… :

    • chris125

      Verizon is full of shit. They have a ton of unused spectrum and they just are sitting on it so nobody else can have it.

  • chris125

    This is what TMO needs. The only thing really lacking is their coverage. This would go a long way to try to eliminate that problem, or at least make it somewhat less of a problem.