The move will give AT&T a massive footprint in Mexico, but also more low-end spectrum in an emerging market. lusacell owns 20-25 MHz of the 800MHz spectrum, much in the lower half of Mexico which covers highly populous Mexico City and Guadalajara.
The move could see AT&T cross the border, blurring the line as they do. Rather than offer up roaming agreements, AT&T could create the largest North American market to-date. The deal brings AT&T’s subscriber base to 400 million users across the US and Mexico.
After Grupo Salinas absorbs the remaining half of lusacell they don’t currently own, AT&T will face Mexican regulators. AT&T’s Stephenson doesn’t seem concerned, though, saying “Our acquisition of Iusacell is a direct result of the reforms put in place by President Peña Nieto to encourage more competition and more investment in Mexico.”
