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Posted at 1:53 PM ET, 12/20/2010

AT&T to buy spectrum for Qualcomm's Flo TV

By Hayley Tsukayama

AT&T announced its intentions on Monday to buy the spectrum that Qualcomm had reserved for its Flo TV service for $1.925 billion. The 700 MHz spectrum is the basis for AT&T's long-term evolution, or LTE, plan.

The spectrum covers more than 300 million people nationwide, according to the AT&T news release. This includes more than 70 million people in New York, Boston, Philadelphia, Los Angeles and San Francisco, and 230 million people across the rest of the country.

As GigaOm points out, this is AT&T's second large purchase of this section of spectrum after spending $2.5 billion for spectrum owned by Aloha Partners in 2007.

Qualcomm expects to shut down FLO TV by March. This decision is no surprise, as it was previously announced that the company would "restructure and evaluate strategic options" for the service.

By Hayley Tsukayama  | December 20, 2010; 1:53 PM ET
Categories:  AT&T, Broadband, Clearwire, Spectrum  
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