Frontier, based in Stamford, Connecticut, serves consumers and businesses in 28 states. The deal is subject to regulatory approvals and is expected to close in the first half of 2016.
Verizon's wireless tower deal is just the latest by a U.S. mobile operator to shed physical assets to better focus on mobile data services, their best source of revenue growth. American Tower, an owner and operator of communications sites, will acquire exclusive rights to lease and operate more than 11,300 Verizon cell towers and will buy 165 towers outright. It will pay about $5 billion upfront and take on leases with an average term of 28 years. Verizon will sublease capacity on the towers.
Also on Thursday, Verizon said it would return about $5 billion to shareholders by buying back its own stock.
Sign up for Computerworld eNewsletters.