Dish agrees to pay $100 million to T-Mobile for extension on 800 MHz purchase

Dish and T-Mobile have resolved their dispute over 800 MHz spectrum, with Dish agreeing to pay $100 million now toward the spectrum, in exchange for an extension to buy the spectrum fully. Dish made an SEC filing on October 19, saying the two companies entered into an amendment to their License Purchase Agreement, extending the date by which Dish may purchase the 800 MHz spectrum to April 1, 2024. Dish and T-Mobile have an agreement whereby Dish said it would purchase all of T-Mobile’s 800 MHz spectrum licenses for approximately $3.59 billion by June 30, 2023. The agreement was part of the 2020 deal approved by the Department of Justice in order for T-Mobile to purchase Sprint and allowing Dish to move forward as a fourth facilities-based wireless operator. However, when Dish was scheduled to purchase the spectrum, it was not in a good liquidity position and asked for an extension. Presumably, Dish will be on better financial footing by April, thanks to its planned merger with EchoStar, a distribution agreement with Amazon, and other device and distribution partnerships.