Verizon Wireless Expands Network with Mobi PCS and Golden State Cellular Purchases

Verizon Wireless announced it will buy Mobi PCS in Hawaii and California's Golden State Cellular in efforts to expand its coverage and LTE services.

Verizon will acquire the carriers through two separate deals, which both call for the FCC's approval, according to FierceWireless.

The two deals are not Verizon's first purchases of small carriers. The telecommunication company previously bought the wireless spectrum and other assets of Cincinnati Bell, the ninth largest wireless carrier in the U.S., for $210 million.

Robin Nicol, spokesperson for Verizon, said the deal will give Verizon network assets, spectra and customers in California's Alpine, Calaveras, Amador, Tuolumne and Mariposa countries, PhoneDog reported.

The company is looking to turn customers over from Golden State Cellular to its own plants about 15 months after the deal is completed.

Nicol said that as part of the deal with Mobi PCS, Verizon will acquire 20-30 MHz of PCS spectrum in Hawaii, FierceWireless reported.

"The transaction also includes a leaseback of 10 MHz of spectrum to allow Mobi to continue offer service to its subscribers," she said.

Verizon said in its FCC filing that Mobi PCS "will lease back PCS spectrum from Verizon Wireless for up to 12 months while it makes the transaction away from being a facilities-based services provider."

The company added that Mobi PCS "is actively exploring arrangements with other providers to provide service alternatives for its customers, including, but not limited to, an employee-led MVNO operation or transitioning subscribers to another provider."

Verizon joins other major carriers, such as T-Mobile and AT&T, in its mission to grow its service, Fansided reported.

The need for larger carriers to meet consumer demand for data is resulting in more small carriers, such as Golden State Cellular and Mobi PCS, being bought up by the larger companies, PhoneDog reported. More deals involving large carriers acquiring small carriers are expected in the future, as wireless subscribers keep consuming more mobile data.