You’ve probably seen the headlines about the "death" of regional carriers, but the reality for anyone holding united states cellular stock is a lot weirder—and potentially more lucrative—than a simple exit.
Honestly, the old UScellular we knew is basically gone. It’s been replaced by a lean, infrastructure-focused beast now operating as Array Digital Infrastructure (NYSE: AD). If you’re still looking for the ticker USM, you’ll notice the shift. This wasn't just a name change; it was a total DNA transplant. By selling the wireless guts of the company to T-Mobile in a massive $4.3 billion deal that closed in August 2025, the company stopped trying to out-shout giants like Verizon and AT&T in the retail market.
Instead, they decided to become the ones who own the ground those giants stand on.
The $23 Dividend and the Spectrum Cash Cow
Let’s talk about the money first because that’s what everyone actually cares about. If you were holding united states cellular stock through the transition, you likely noticed the massive special dividend of $10.25 per share declared in January 2026, following a previous massive payout in 2025.
Why the windfall? Because the company is sitting on a mountain of spectrum—the invisible "real estate" of the airwaves—and they are selling it off like prime beachfront property.
Just this month, in mid-January 2026, the company finalized a $1.02 billion spectrum sale to AT&T. This isn't just a one-off. They’ve also got a $1 billion deal with Verizon that is expected to wrap up by the third quarter of this year. For investors, this creates a "liquidation play" vibe, but with a twist: the company isn't actually closing shop. It’s just getting rid of the stuff that requires high maintenance (like retail stores and customer churn) and keeping the stuff that generates passive income (towers and fiber).
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Why the T-Mobile Deal Was a Survival Move
For years, UScellular was the "brave regional" player. They had 4.4 million customers across 21 states, mostly in rural areas where the big guys didn't want to go. But 5G changed the math. The cost of building a national 5G network is, quite frankly, insane.
- The Problem: Smaller carriers couldn't afford the billions in CapEx (Capital Expenditure) required to compete with T-Mobile’s "Ultra Capacity" 5G.
- The Solution: Sell the customers to T-Mobile, let them deal with the towers' hardware, and just collect the rent.
As of early 2026, the transition is in full swing. If you're a former UScellular customer, you’re likely seeing "USCellular, now a part of T-Mobile" on your phone. For the stock, this removed the constant headache of "subscriber losses." People were leaving for the big three anyway; now, those losses are T-Mobile's problem.
The New Strategy: Fiber and "Edge-Out" Growth
So, what is the company now? If they don't sell cell phone plans, what do they do?
They’ve pivoted hard into fiber-to-the-home. While the wireless side was sold, the parent company, Telephone and Data Systems (TDS), is pushing Array to hit 1.8 million marketable fiber addresses by the end of 2026. They are currently at about 1 million.
This "edge-out" strategy is basically finding towns that are just outside the reach of big cable companies and running fiber lines to them. It’s high-margin, sticky revenue. Unlike a cell phone plan that you can cancel on a whim, people rarely switch their home internet once the fiber is in the ground.
The Tower Business is the Real Anchor
Array still owns about 4,400 towers. This makes them the fifth-largest tower company in the U.S. They signed a 15-year deal with T-Mobile to be the "anchor tenant" on these towers.
Think of it like being a landlord for a Starbucks. You don't care if they sell a million lattes or ten; you just care that the check clears on the first of the month. With T-Mobile, AT&T, and Verizon all needing more "colocation" space for their 5G and 6G equipment, these towers are more valuable than ever.
Acknowledging the Risks: It’s Not All Sunshine
It would be dishonest to say united states cellular stock is a guaranteed win. There are real hurdles.
- Regulatory Hangover: While the big T-Mobile deal is done, the FCC and DOJ are still watching the remaining spectrum sales to AT&T and Verizon. Any delay there slows down the special dividends investors are hungry for.
- The TDS Control: Telephone and Data Systems (TDS) owns about 82% of the company. This means as a minority shareholder, you’re basically a passenger on their bus. If TDS decides to use the cash for something other than dividends—like a risky acquisition in a different sector—you don't have much of a say.
- Interest Rates: Infrastructure companies like the new Array live and die by debt. Even though they’ve used spectrum sales to pay down billions, they still carry a significant load. If interest rates stay "higher for longer," it eats into the cash they can distribute to you.
What Most People Get Wrong About USM/AD
A lot of folks look at the declining revenue numbers and panic. "Oh no, revenue dropped from $950 million to $891 million!"
Well, yeah. They sold the business that sells phones.
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You have to stop looking at the top-line revenue and start looking at the operating margin. The retail wireless business is a low-margin grind. The tower and fiber business is a high-margin fortress. A smaller company with 40% margins is often worth way more to an investor than a giant company with 5% margins.
Actionable Insights for Investors
If you are looking at united states cellular stock (now Array Digital Infrastructure) in 2026, here is how you should actually play it:
- Watch the Record Dates: If you’re hunting for those special dividends, you need to be in the stock before the record dates (like the January 23rd date for the latest $10.25 payout). Once the dividend "goes ex," the stock price usually drops by the amount of the dividend.
- Monitor the Verizon Deal: The $1 billion spectrum sale to Verizon is the next big catalyst. If that closes on schedule in Q3 2026, expect another conversation about debt reduction or a special payout.
- Evaluate the Fiber Take-Rate: Check the quarterly reports for "penetration rates" in their new fiber markets. If they are hitting 30-40% within the first year of a build, the strategy is working.
The "regional carrier" era is dead. But the "infrastructure landlord" era for united states cellular stock is just getting started. It’s a transition from a volatile service provider to a steady utility-style play, and for those who caught the special dividends along the way, it’s been one of the more interesting transformations in the telecom space.
Keep an eye on the 10-K filings coming out in February. That’s where the management will lay out the exact roadmap for the 1.8 million fiber goal. If they sandbag those numbers, it might be a sign that the "edge-out" is getting more expensive than they thought. But if they beat them? Then this pivot was a masterstroke.