FCC Approves SBC-BellSouth Wireless Pact

SBC Communications Inc. and BellSouth Corp. won final regulatory approval to combine their wireless assets and form the second-largest U.S. mobile phone company, which would reach 70% of the nation. The Federal Communications Commission said the new entity won’t hurt competition in any market and will give consumers another choice. The Justice Department last month required the companies to sell properties in 16 markets where both hold licenses, including Los Angeles, New Orleans and Indianapolis, to win antitrust clearance. The joint venture, announced in April, will have phone networks in 40 of the top 50 markets, the FCC said. Combined, the companies will have 17.9 million subscribers in the Midwest, Southwest and Southeast. The venture will rank second to Verizon Wireless, which has 25.4 million customers. The companies plan to close the transaction soon and give the venture a name. The venture will help SBC and BellSouth compete more efficiently against Verizon and AT&T; Corp., now the No. 3 wireless carrier. Shares of SBC, the parent of Pacific Bell, rose 19 cents to close at $49.88, and BellSouth rose $1.13 to close at $40.50, both on the New York Stock Exchange.