T-Mobile Snags $3.3 Billion of Spectrum From Verizon Wireless

T-Mobile buying spectrum from Verizon Wireless to expand low-band spectrum that boosts cellular coverage inside buildings and in rural areas.

Jan 6, 2014 at 12:40PM

T-Mobile (NASDAQ:TMUS) announced today that it will pay $3.3 billion for spectrum licenses from Verizon Wireless (NYSE:VZ). T-Mobile will hand over $2.4 billion in cash and roughly $950 million worth of its own spectrum licenses to expand its low-band spectrum in some of the nation's top markets.

This latest addition expands T-Mobile's low-band coverage to 158 million people in areas including New York, Los Angeles, Dallas, Houston, Philadelphia, Atlanta, Washington D.C., and Detroit. According to the press release, low-band spectrum like the 700 MHz A-Block included in the deal is especially important for coverage in buildings and rural areas. Low-band spectrum also has the ability to travel greater distances than high-band spectrum, making it a more efficient way to provide coverage at the edge of cities and in less densely populated areas.

"This is a great opportunity to secure low-band spectrum in many of the top markets in America," T-Mobile President and CEO John Legere said in a press release "These transactions represent our biggest move yet in a series of initiatives that are rapidly expanding our already lightning fast network and improving its performance across the country. We will continue to find ways to advance our customers' network experience just as our bold Un-carrier moves have shaken up the wireless industry to benefit consumers."

Pending regulatory approval, the deal is expected to be sealed by mid-2014, with T-Mobile customers benefiting as soon as the fourth quarter of this year.

-- Material from The Associated Press was used in this report.

Fool contributor Justin Loiseau has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

A Financial Plan on an Index Card

Keeping it simple.

Aug 7, 2015 at 11:26AM

Two years ago, University of Chicago professor Harold Pollack wrote his entire financial plan on an index card.

It blew up. People loved the idea. Financial advice is often intentionally complicated. Obscurity lets advisors charge higher fees. But the most important parts are painfully simple. Here's how Pollack put it:

The card came out of chat I had regarding what I view as the financial industry's basic dilemma: The best investment advice fits on an index card. A commenter asked for the actual index card. Although I was originally speaking in metaphor, I grabbed a pen and one of my daughter's note cards, scribbled this out in maybe three minutes, snapped a picture with my iPhone, and the rest was history.

More advisors and investors caught onto the idea and started writing their own financial plans on a single index card.

I love the exercise, because it makes you think about what's important and forces you to be succinct.

So, here's my index-card financial plan:


Everything else is details. 

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