America's Best and Largest Network Just Got Larger: AT&T Completes Acquisition of Lumen's Mass Markets Fiber Business

Rhea-AI Summary

AT&T (NYSE: T) closed its acquisition of substantially all of Lumen's Mass Markets fiber business for $5.75 billion, adding more than 1 million fiber subscribers and acquiring over 4 million customer locations. The deal expands AT&T Fiber availability to 32 states and targets accelerated build toward >60 million locations by 2030.

The transaction brings new metro areas including Denver, Seattle, and Salt Lake City into AT&T's footprint and is intended to increase fiber penetration and converged fiber+5G customer relationships.

Positive

• $5.75 billion all-cash purchase of Lumen Mass Markets fiber business
• Adds more than 1 million fiber subscribers to AT&T's customer base
• Acquires over 4 million customer locations, expanding network scale
• Expands AT&T Fiber availability to 32 states
• Supports AT&T plan to reach >60 million fiber locations by end of 2030

Negative

• None.

Key Figures

Deal value: $5.75 billion Price move: 4.3% Fiber subscribers added: More than 1 million +4 more

7 metrics

Deal value $5.75 billion All-cash acquisition of Lumen’s Mass Markets fiber business

Price move 4.3% Change vs. prior close on day of acquisition-closing news

Fiber subscribers added More than 1 million New customers from Lumen Mass Markets fiber acquisition

Fiber locations added More than 4 million Customer locations across 11 states from Lumen deal

Service expansion states 32 states AT&T fiber home internet service coverage post-transaction

Current fiber penetration Roughly 25% Existing penetration within acquired Lumen fiber footprint

Fiber locations goal More than 60 million Planned total fiber locations by end of 2030

Market Reality Check

Price: $26.21 Vol: Volume 77.5M is about 1.5...

high vol

$26.21 Last Close

Volume Volume 77.5M is about 1.57x the 20-day average (49.5M), indicating elevated interest ahead of this acquisition close. high

Technical At 26.21, shares trade slightly below the 200-day MA of 26.77, still 12.0% under the 52-week high.

Peers on Argus

T gained 4.3% while key peers were mixed: VZ up 5.99%, TMUS up 2.01%, CMCSA up 0...

1 Down

T gained 4.3% while key peers were mixed: VZ up 5.99%, TMUS up 2.01%, CMCSA up 0.37%, CHTR up 0.98%, and AMX down 2.5%. Momentum scanner only flagged SATS moving down, supporting a stock‑specific reaction to this AT&T–Lumen fiber deal rather than a broad telecom move.

Previous Acquisition Reports

3 past events · Latest: Aug 26 (Positive)

Same Type Pattern 3 events

Date	Event	Sentiment	Move	Catalyst
Aug 26	Spectrum acquisition	Positive	-0.6%	Announced $23B EchoStar spectrum purchase to enhance 5G and home internet.
May 21	Fiber acquisition	Positive	-0.9%	Agreed to acquire Lumen’s Mass Markets fiber unit for $5.75B.
Sep 30	Video business deal	Positive	+0.5%	DIRECTV to acquire EchoStar video business; T to sell its 70% stake.

Pattern Detected

Acquisition announcements have historically produced small price moves, with 2 of 3 events showing mild downside despite generally positive strategic framing.

Recent Company History

Recent acquisition-related news for AT&T has centered on expanding network capabilities and customer reach. On Aug 26, 2025, AT&T announced a $23 billion spectrum license acquisition from EchoStar, enhancing 5G and home internet, yet shares fell modestly. On May 21, 2025, AT&T agreed to buy Lumen’s Mass Markets fiber business for $5.75 billion, again with a small negative move. A separate DIRECTV–EchoStar video deal on Sep 30, 2024 saw a slight gain. Today’s closing of the Lumen fiber transaction fits this ongoing network-expansion theme but with a stronger positive price response.

Historical Comparison

acquisition

+0.7 %

Average Historical Move

Historical Analysis

Over the past 18 months, AT&T’s acquisition headlines moved the stock an average of 0.65%. Today’s 4.3% gain on closing the Lumen fiber deal stands out as a stronger-than-usual reaction.

Typical Pattern

Acquisition activity has focused on expanding network assets: large spectrum purchases, the Lumen fiber footprint, and video-industry restructuring via DIRECTV, collectively building scale in 5G, fiber, and distribution.

Market Pulse Summary

This announcement confirms closing of AT&T’s $5.75 billion acquisition of Lumen’s Mass Markets fiber...

Analysis

This announcement confirms closing of AT&T’s $5.75 billion acquisition of Lumen’s Mass Markets fiber business, adding over 1 million subscribers and more than 4 million fiber locations across 11 states. It supports AT&T’s goal of exceeding 60 million fiber locations by 2030 and expands service to 32 states. Historically, acquisition news has produced modest stock moves, so investors may watch integration progress, penetration uplift from roughly 25%, and future capital allocation updates.

Key Terms

fiber home internet, all-cash transaction

2 terms

fiber home internet technical

"award-winning fiber home internet service to 32 states, bringing millions"

Fiber home internet is a broadband service that delivers data over glass fibers to a residence, offering much faster and more reliable connections than older copper or wireless links. For investors it matters because building and operating fiber is capital-intensive but creates steady, recurring revenue and a competitive edge where deployed—think of it as replacing a narrow road with a high-capacity highway that supports more traffic and higher-priced services over time.

all-cash transaction financial

"fiber business for $5.75 billion in an all-cash transaction, subject"

An all-cash transaction is a deal where the full purchase price is paid immediately in cash or cash equivalents, rather than through financing or installment payments. For investors, this type of transaction often indicates a quick, straightforward sale and can signal confidence from the buyer, potentially affecting the value and perception of the involved assets.

AI-generated analysis. Not financial advice.

DALLAS, Feb. 2, 2026 /PRNewswire/ -- 

Deal extends AT&T's industry-leading, award-winning fiber home internet service to 32 states, bringing millions of Americans the simple, seamless and trusted experience they can depend on, with the best Internet technology available today.  

Key Takeaways:

• AT&T has purchased substantially all of Lumen's Mass Markets fiber business, bringing millions more Americans the simple, seamless and trusted experience they can depend on, with the best Internet technology available today.
• Through this acquisition, more than 1 million fiber subscribers across more than 4 million fiber locations in new major metro areas like Denver, Seattle, and Salt Lake City, are now new AT&T customers.
• This gives more people access to AT&T's fiber network which is trusted by millions and backed by award-winning customer satisfaction.

AT&T (NYSE: T) has closed its previously announced transaction to acquire substantially all of Lumen's (NYSE: LUMN) Mass Markets fiber business for $5.75 billion in an all-cash transaction, subject to customary adjustments.

"America's largest network is the best positioned in our industry to serve even more consumers – both in the home and on the go," said John Stankey, Chairman and CEO of AT&T. "AT&T Fiber – America's best and top-rated technology for getting on the internet – will be available to millions more people as we expand the service in 32 states. This investment will create good-paying jobs, boost U.S. connectivity and bring the benefits of high-speed connections to more communities across the country."

This deal advances AT&T's position to win with the best assets in the industry – extending the Company's lead against competitors, continuing to meet customers where they are and delivering more value to shareholders. Highlights include:

• Adding more than 1 million fiber subscribers to AT&T's total customer count, with the opportunity to significantly grow the number of AT&T Fiber customers over time. Using its extensive distribution, the strengths of AT&T Fiber, and the value of the AT&T Guarantee, the Company expects to increase current fiber penetration of roughly 25% within the acquired footprint to levels more consistent with its AT&T Fiber penetration.
• Increasing the scale of AT&T's fiber network as the Company acquires more than 4 million customer locations across 11 states. AT&T also gains access to Lumen's substantial fiber construction capabilities in these states, accelerating an efficient build engine for constructing fiber home internet connectivity outside of AT&T's traditional wireline operating region. As a result, AT&T expects to accelerate the pace at which fiber is being built in these territories, supporting the Company's plans to reach more than 60 million total fiber locations by the end of 2030.¹ This gives more people access to AT&T's fiber network which is trusted by millions and backed by award-winning customer satisfaction.
• Giving more American consumers more choice to purchase fiber and 5G services the way they prefer – from one trusted provider. AT&T expects that its ability to offer fiber broadband and 5G wireless connectivity together will enable it to grow its base of high-value converged customer relationships within the acquired footprint. Customers with both AT&T Fiber and the Company's wireless services are more likely to recommend AT&T, remain customers longer and provide the best returns – giving AT&T a position unlike anyone else in the industry.

AT&T reiterates all of the financial guidance it provided with its fourth quarter 2025 earnings report, which anticipated an early 2026 closing of this transaction with Lumen.

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¹Locations reached with fiber include consumer and business locations: (i) passed with fiber, and (ii) served with fiber through commercial open-access providers.

About AT&T
We help more than 100 million U.S. families, friends and neighbors, plus nearly 2.5 million businesses, connect to greater possibility. From the first phone call 140+ years ago to our 5G wireless and multi-gig internet offerings today, we @ATT innovate to improve lives. For more information about AT&T Inc. (NYSE: T), please visit us at about.att.com. Investors can learn more at investors.att.com.

Cautionary Language Concerning Forward-Looking Statements
Information set forth in this news release contains financial estimates and other forward-looking statements that are subject to risks and uncertainties, and actual results might differ materially. A discussion of factors that may affect future results is contained in AT&T's filings with the Securities and Exchange Commission. AT&T disclaims any obligation to update and revise statements contained in this news release based on new information or otherwise.

© 2026 AT&T Intellectual Property. All rights reserved. AT&T and the Globe logo are registered trademarks of AT&T Intellectual Property.

 

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SOURCE AT&T

FAQ

What did AT&T (T) pay to acquire Lumen's Mass Markets fiber business on Feb 2, 2026?

AT&T paid $5.75 billion in an all-cash transaction, according to the company. This purchase closes the previously announced deal and includes customary purchase price adjustments and transfer of assets and subscribers.

How many new subscribers and locations did AT&T (T) gain from the Lumen fiber acquisition?

AT&T added more than 1 million fiber subscribers and acquired over 4 million customer locations, according to the company. These assets include consumer and business locations passed or served by fiber in the acquired footprint.

Which states and metro areas does AT&T (T) expand into with the Lumen deal?

The acquisition expands AT&T Fiber availability into 32 states, adding major metro areas like Denver, Seattle, and Salt Lake City, according to the company. It also provides fiber construction capabilities in the acquired states.

How will the Lumen acquisition affect AT&T's fiber growth targets (T)?

The deal is expected to accelerate fiber builds and support a plan to reach over 60 million total fiber locations by end of 2030, according to the company. It aims to raise penetration in the acquired footprint closer to AT&T Fiber levels.

What customer benefits does AT&T (T) cite from adding Lumen's fiber business?

AT&T says more consumers will gain access to AT&T Fiber and combined fiber+5G offerings, according to the company. Management expects stronger converged relationships, higher retention, and increased customer recommendations in the acquired areas.