T-Mobile  agreed to buy airwaves from Verizon for about $2.4 billion in cash as part of a spectrum swap that will give both companies more network capacity in areas where they need it. T-Mobile, the fourth-largest U.S. wireless carrier, will purchase 700-megahertz A-block spectrum licenses from Verizon, according to a statement today. As part of the exchange, Verizon, the largest U.S. wireless carrier, will get so-called AWS and PCS licenses, which have a combined value of about $950 million.

T-Mobile is buying airwaves from Verizon Wireless for about $2.4 billion in cash as part of a spectrum swap. The deal should improve service in areas for both companies, according to Bloomberg. The deal calls for T-Mobile, the fourth-largest carrier in the U.S., to receive 700-megahertz A-block spectrum licenses. In exchange, Verizon, the largest carrier in the U.S., will get AWS and PCS licenses. The transaction will give T-Mobile low-band spectrum in nine of the top 10 markets. Verizon gains spectrum in Los Angeles, San Francisco, Dallas, Atlanta, and Detroit.