Spectrum Hoarders Sell for 60% Profit.


Staff member
Verizon Wireless is paying $3.6 billion to buy 122 Advanced Wireless Services spectrum licenses from SpectrumCo LLC. That’s a joint venture of Comcast, Time Warner Cable and Bright House Networks...

RBR-TVBR observation: This seems like a good deal on both sides. Verizon Wireless gets more spectrum for expansion without waiting for any clearing by the FCC and Congress, while the cable companies turn a nice profit on their spectrum investment. Analyst Marci Ryvicker at Wells Fargo Securities notes that the joint venture paid $2.4 billion for these licenses in 2006, so it looks like the investment returned a 60% profit.
Read More: Cable giants cash out for $3.6 billion in spectrum sale - Radio & Television Business Report