News | June 30, 2000

Alltel completes wireless exchange with Bell Atlantic, GTE

Completing the final phase of a wireless property exchange with Bell Atlantic and GTE, Alltel (Little Rock, AR) becomes the nation's fifth-largest wireless carrier with almost 6 million wireless customers. The carrier has begun operating the former GTE wireless markets in Cleveland, OH, and Tampa, FL, and other markets in Alabama, Florida, and Ohio. Alltel already is operating markets in Arizona, New Mexico and west Texas that it obtained from Bell Atlantic.

The property exchange involved wireless interests in 13 states and was announced by the three carriers on Feb. 1. After a brief transition, the Alabama, Florida, and Ohio markets will begin operating under the Alltel brand name.

In addition to Cleveland and Tampa, the carrier also began operating the former GTE wireless markets in Canton and Akron, OH; Lakeland, Naples, Fort Myers, Pensacola, Sarasota, and Bradenton, FL.; and Mobile, AL.

Alltel operates five regional markets, each with an average of more than 1 million customers. It has publicly stated the company plans to aggressively pursue the $7 billion of addressable communications spending in those markets.

"Alltel is now able to compete for every local customer with competitive national pricing," Ford said. "With the completion of these transactions, a nationwide roaming agreement becomes effective. This roaming contract allows Alltel access to an unprecedented nationwide wireless network that offers an on-network cost structure for off-network calls."

Under terms of the Feb. 1 agreement, Bell Atlantic and GTE transferred wireless interests in Alabama, Arizona, Florida, Ohio, New Mexico, South Carolina and Texas involving about 14 million POPs, or population served, and more than 1.5 million customers. Alltel transferred interests in Illinois, Indiana, Iowa, Nevada, New York, and Pennsylvania. The carrier is transferring operations covering about 6.3 million POPs and more than 700,000 customers.

As a result of the swaps, Alltel has a total of 46 million POPs and almost 6 million wireless customers.

In its regional markets, the carrier already is offering nationwide calling plans called Total Freedom. The plans will be available in the newly-acquired Alabama, Florida, and Ohio markets. The national wireless plans begin at $40 per month for 200 minutes and range up to $150 for 1,500 minutes.

Edited by Ellen Jensen