Analysts weigh in: AT&T in talks to buy Lumen’s consumer fiber unit – Bloomberg
Updates:
AT&T will acquire substantially all of Lumen’s Mass Markets fiber business for $5.75 billion, subject to purchase price adjustments, in an all-cash transaction that is expected to close in early 2026. Lumen’s fiber business has approximately 1 million fiber customers and reaches more than 4 million fiber locations across 11 U.S. states.
“We’re leading the race to connect more Americans with fiber, the best broadband connectivity technology available,” said John Stankey, Chairman and CEO, AT&T. “This deal with Lumen represents a significant investment in U.S. connectivity infrastructure that will create jobs and spur economic activity in numerous regions and major metro areas across 11 states. As we advance our fiber build, we’ll serve more communities with world-class connectivity and expect to roughly double where AT&T Fiber is available by the end of 2030.”
https://about.att.com/story/2025/lumen-mass-markets-fiber-business.html
On February 2, 2026, Lumen announced the sale was completed.
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Bloomberg News reports that AT&T is in talks to acquire Lumen Technologies’ consumer fiber operations, in a deal that could value the unit at more than $5.5 billion, citing people with knowledge of the matter. The companies are in exclusive discussions about a transaction valuing the unit at more than $5.5 billion, said one of the people, who requested to not be identified discussing confidential information. The terms of the unfinalized deal could change or the talks might still collapse, according to the report.
“If the rumored price is correct, it is a great deal for AT&T,” wrote the financial analysts at New Street Research in a note to investors. “The value per [fiber] location at $5.5 billion would be about $1,300 which compares to Frontier at $2,400, Ziply at $3,800, and Metronet at $4,700,” the analysts continued.
https://www.lightreading.com/fttx/is-at-t-getting-a-screaming-deal-on-lumen-s-fiber-
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Reuters reported in December the deal could be worth $6 billion to $9 billion. Raymond James analysts Frank Louthan and Rob Palmisano say that they’re convinced the business will sell in the next 12 months and that AT&T will likely be a top bidder, or perhaps even its joint venture partner Gigapower.
AT&T to Buy Lumen’s Consumer Fiber Business for $5.75 Billion. AT&T says deal will accelerate high-speed fiber internet access for millions of Americans. The deal is expected to close in the first half of 2026.
AT&T said the acquisition will create jobs in metro areas across 11 states and improve critical connectivity infrastructure. The transaction will allow AT&T to expand in areas including Denver, Las Vegas, Minneapolis-St. Paul, Phoenix, Salt Lake City and Seattle, among others.
The deal includes about 1 million Lumen fiber subscribers across more than 4 million locations, AT&T said. Those subscribers will transition to become AT&T Fiber customers.
AT&T now expects to reach 60 million total fiber locations by the end of 2030, roughly double the number of places it is available now.
https://www.wsj.com/business/telecom/at-t-to-buy-lumens-mass-markets-fiber-business-for-5-75-billion-4e363bc2