17 February 2004
U.S. mobile phone giant Cingular has agreed to acquire rival AT&T Wireless to create America's largest cellular subscription base.
Cingular said the $41 billion deal will create a combined company with a potential 46 million subscribers.
Tuesday's announcement came just hours after British telecommunications giant Vodafone withdrew its bid to purchase AT&T Wireless, saying it was not in the company's best interest.
The Wall Street Journal reported today that Cingular won an auction for AT&TWireless, valuing the company at about $41 billion, compared to $38 billion by Vodafone.
Cingular is the second largest mobile phone company in the United States, while AT&T Wireless is third.