AT&T Increases 4G Network Capacity with $1.925 Billion Purchase

Wow, can you imagine paying 1.925 billion dollars for a piece of air? OK, it’s not really just a piece of air, but a piece of a spectrum in the Lower 700 MHz frequency band. AT&T bought a license to the 700 MHz frequency band from Qualcomm, who was using it for their FLO TV network, which they expect to shut down in March of 2011.

According to the press release by AT&T, about the new AT&T 700 MHz Qualcomm purchase, here’s what AT&T will be using the new spectrum for:

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 and is expected to be enabled with the completion of 3GPP Release 10. AT&T expects to begin deploying this spectrum once compatible handsets and network equipment are developed.

According to Qualcomm’s press release about the AT&T Frequency Purchase, they  “anticipate closing the sale during the second half of calendar year 2011.”

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