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T-Mobile has revealed the purchase price of its Layer3 TV acquisition, disclosing in its recent 10-K filing that the carrier paid about $325 million for the Denver-based MVPD.

The deal, first announced in December, closed on January 22 and the final transaction value is subject to customary working capital and other post-closing adjustments, T-Mobile noted. Layer3 TV is now a wholly-owned consolidated subsidiary of T-Mobile, and the operator will begin including Layer3 TV results in its Q1 2018 earnings report.  

T-Mobile acquired Layer3 TV with plans to build and launch a new ‘disruptive’ IP-based home and mobile TV service that competes with traditional pay TV providers, as well as virtual MVPDs like DirecTV Now, YouTube TV, and Sling TV. T-Mobile has said it envisions the new service will work on any device with an internet connection. In its filing, T-Mobile said the deal represents a progression of the company’s video strategy, which started with the launch of its Binge On video streaming service in 2015, followed by its Netflix on Us promotion, unveiled last September.

Pricing and packing details have not been disclosed, but interested individuals can plug in contact information on T-Mobile’s TV website to receive offers and information about when the TV service will become available in their area.

Following the sale, Layer3 TV CEO Jeff Binder is head of T-Mobile’s new TV unit. Binder is also part of T-Mobile’s senior management team, as head of the company’s integrated strategy for video and entertainment. About 200 Layer3 TV employees have also joined T-Mobile.

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