FCC Approves Verizon Wireless Acquisition of Rural Cellular Corporation's Spectrum Licenses

On Friday, the Federal Communications Commission today approved with conditions, the transfer of control of licenses held by Rural Cellular Corporation (RCC) and its subsidiaries to Cellco Partnership doing business as Verizon Wireless. In analyzing Verizon Wireless's proposed acquisition of RCC and its subsidiaries, the FCC examined the market for mobile telephony services and concluded that the companies had demonstrated that the merger will be in the public interest. However, based on a case-by-case analysis which determined that there was a potential for competitive harm in the six markets, the FCC is requiring that one of the two companies divest the licenses and related operational and network assets in those markets. Commissioner Michael Copps said, "[T]hese divestitures will improve competition in the affected areas."