AT&T & Verizon enter tower agreement to eliminate oligopoly
Date: 2017-11-14   Author: Dhananjay Punekar  Category: #news

AT&T & Verizon enter tower agreement to eliminate oligopoly

AT&T Incorporation and Verizon Communications Inc. have signed a pact with Tillman Infrastructure, operator of smart cities infrastructure and towers, that will help the firms lease many of the new cell towers from the latter. The initiative will provide both the telecom firms with an added benefit in their dealings with key U.S. based tower vendors such as Crown Castle International Corporation, American Tower Corporation, and SBA Communications Corporation. Experts cite that the strategic move will help the telecom giants enter a deal with new vendors other than these three and secure reasonable tower costs for transmitting wireless signals. This marks a new phase in the field of wireless infrastructure sector across the U.S, which will assist in best serving the interests of the telecom firms through improved connectivity.

According to reliable sources, both the firms are aiming to expand their network capacity and offer myriad services to end-users who use a high proportion of mobile data. As a part of the transaction, Tillman will reportedly build the towers and Verizon as well as AT&T will be serving as tower residents. The construction of the towers is anticipated to commence in the first half of 2018, with the three firms working together to compete against the three big tower vendors based in the U.S. The new tower constructions are predicted to make noteworthy contributions towards the enhancement of the overall communications infrastructure across the U.S. Furthermore, it has been predicted to offer new avenues for wireless carriers to move the equipment from current towers to the newly constructed ones.

After the declaration of the telecom giants to align with Tillman, the stock prices of all the three key tower vendors were adversely impacted and witnessed a considerable decline. The share prices of American Towers were flat in the afternoon trading while the stocks of SBA Communications came down by 1.9%. The stock market also witnessed the share prices of Crown Castle falling down by 0.3%.



About Author


Dhananjay Punekar

Dhananjay Punekar

Dhananjay currently works as a content writer at AlgosOnline. A post graduate in mathematics as well as business administration, he worked as a process executive in Infosys BPO Limited before switching his professional genre. Following his childhood passion, he opted fo...

Read More

More from Dhananjay


Post Recommendents

FoodMaven raises $15.3 million from Series B funding round
Author: Saipriya Iyer

U.S.-based food startup, FoodMaven Corp. has a unique business model that offers imperfect and oversupplied food to foodservice providers and restaurants. Recently, the company announced securing $15.3 million from its...


Bilfinger secures 3-year blanket agreement contract from TRANSCO
Author: Saipriya Iyer

Bilfinger, a global provider of engineering and industrial services, announced that it has secured a multimillion-dollar maintenance contract from Abu Dhabi Transmission & Despatch Company, (TRANSCO).


Vertosa closes $6 million round of seed funding to scale strategically
Author: Saipriya Iyer

Vertosa, a renowned California based cannabis as well as hemp infusion technology company, reportedly announced that it has closed a $6 million Series Seed Funding Round which was co-led by the New York based Welcan Ca...