FCC approves Verizon’s TracFone acquisition

It’s official! Verizon has obtained the green light to acquire TracFone Wireless. This report comes after Big Red got the Federal Communications Commission (FCC) to approve the acquisition. 

Verizon first expressed interest in acquiring the brand in September 2020. With TracFone’s lead in the prepaid phone industry, the acquisition will greatly expand Verizon’s portfolio. The deal was supposed to be completed in 2020 but got stuck in regulatory approval.

Now that the FCC has said yes to the proposal, it would set back Verizon over $6 billion in cash and stock. The acquisition will give Verizon ownership over the other TracFone brands, such as Straight Talk, Total Wireless, Simple Mobile, Net10, Page Plus, and Walmart Family Mobile. As a whole, it will give Verizon around 20 million subscribers in the country. 

Prior to the FCC’s approval, the California Public Utilities Commission (CPUC) also gave the green light to the acquisition. This approval came after Verizon promised to continue offering its Lifeline services for 20 years. Big Red also promised not to increase its existing prices for at least five years.

Source: XDA-Developers