U.S. Cellular is a regional mobile service carrier extending mainly into the pacific northwest, New England, and parts of the midwest and southeast. If you’re a U.S. Cellular subscriber, outside of its limited coverage areas, then you rely on its roaming agreements with the three larger carriers. However, unless you live in a region where the company has a foothold, you’re unlikely to have heard of U.S. Cellular, much less have reason to subscribe to its service. If you do live in a region well-served by the smaller carrier, then its service is reported to be as good as or better than what the three larger carriers offer in those areas.
The idea that U.S. Cellular was considering a sale first went public in August 2023, when it announced in a press release that it was looking to “explore strategic alternatives.” This is classic business speak for seeking out a merger or acquisition. “The U.S. Cellular leadership team and I fully support the decision to review strategic alternatives for U.S. Cellular,” said CEO Laurent Therivel. “We will remain focused on executing our plan and fulfilling our mission of connecting people to what matters most.”
A month later, T-Mobile CEO Mike Sievert was asked at the Goldman Sachs Communacopia + Technology conference if the U.S. Cellular news could play into his company’s strategy for expanding into rural areas. “Maybe, but I like our Plan A a lot,” he replied according to Cord Cutters News, adding that the hurdles for M&A would be high.
