AT&T and Cingular - Mobile Services

Cingular Wireless LLC announced on October, 26, 2006 that it has completed a $41 billion acquisition of AT&T Wireless Services Inc., creating the nation's largest wireless carrier, following approval from two U.S. government agencies. Immidiately after, the merged company was going to have 46 million customers, compared to about 40 million for Verizon Wireless.

Today’s AT&T and Cingular executive officials reported work immediately started on integrating the services of the two companies. Stan Sigman, president and CEO of Cingular, approved the fact that the two companies' wireless networks became open up to each other immediately, creating expanded coverage for customers. Sigman called the merger a "new day" for wireless networks customers. The merged company was to begin marketing wireless service under the Cingular brand by late November. Officials in the merged company, which counted about 68,000 employees at that point, said they expected to lay off some staff, although not up to 2005.

Cingular officials hadn't determined how many people were to stay at AT&T Wireless' Redmond, Wash., headquarters. The company's announcement came the same day as the U.S. Federal Communications Commission decision to approve the acquisition on the condition that AT&T and Cingular would take action to ensure competition in 22 U.S. markets. The FCC's approval required AT&T and Cingular to divest itself of customers and other wireless assets in 16 markets, and to divest itself of spectrum in two major wireless markets, Detroit and Dallas. In four other markets, the FCC was going to require Cingular to convert to passive interests some nonpassive, minority equity interests of AT&T Wireless in competing mobile telephony carriers.

The FCC also required AT&T and Cingular to appoint a management trustee to serve as a manager of the divestiture assets until they were purchased by third-party purchasers or transferred to a divestiture trustee. Most of the acquisitions are stopped at the moment. AT&T and Cingular, with former Cingular based in Atlanta, was formed in 2000 and was jointly owned by SBC Communications Inc. and BellSouth Corp. Cingular had more than 24 million subscribers before the merger, and in 2003 earned revenue of approximately $15.5 billion.

Following AT&T's merger with BellSouth Corp. in December 2006, Cingular Wireless is now solely owned by AT&T, Inc. Now that branding from Cingular to AT&T is complete, the merged AT&T and Cingular represents the biggest wireless company in the United States of America, with over 65 million customers that take advantage of the nation's largest digital voice and data network. Cingular customers can at all times rest assured that they will still receive the quality of products and services they are accustomed to—deals on exclusive cell phones and mobile devices, cutting-edge technology implementations, and a large selection of various rate plans.