Array Digital Infrastructure Transitioning According to Plan

Array Digital Infrastructure (NYSE: AD) is managing a number of moving parts as it transitions to a fully operational independent tower company. At the end of 1Q26, the company reported a total of 4,452 owned towers in 19 states. Array is the fourth largest public tower company and the fifth largest tower company by tower count in the U.S., according to Inside Towers Intelligence.

Two main factors are influencing the pace of company’s tower development and tenant per tower additions: T-Mobile’s (NASDAQ: TMUS) integration of the UScellular network, and the discontinuance of DISH leases.

“Array is executing on its 2026 priorities,” comments Anthony Carlson, President and CEO. “Since standing-up Array just eight months ago, we remain laser-focused on optimizing our tower operations, including securing new colocation applications and delivering steady tower tenancy growth. And we are continuing to close our pending spectrum transactions and support T-Mobile’s integration.” 

Recall that T-Mobile “committed” to 2,015 new Array tower sites under a long-term master lease framework that was put in place when T-Mobile closed its acquisition of UScellular, Inside Towers reported. In addition to the committed sites, there were up to 1,800 “interim” sites referenced as part of the transition/integration period.

“Committed” means contractually committed new sites, whereas “interim” reflects additional, temporary/transition-related sites (often used to support near-term integration needs) and is typically described separately from the long-term committed build/lease program.

Together, these commitments indicate a sizable pipeline of T-Mobile-related activity for Array, combining long-term contracted growth (committed sites) with near-term transition support (interim sites), according to the company. T-Mobile has until January 2028 to complete the UScellular network integration and finalize its committed site selection. At that time, Array will have a clear picture of what its tower portfolio and occupancy rate will look like.

The company reported site rental revenues for the quarter were $52 million, up 92 percent year over year when factoring in new leases, T-Mobile MLA-Committed and Interim sites, straight revenue adjustments, amortization of prepaid rent and removing any DISH revenue. 

Carlson also pointed out that Array has taken appropriate action to ensure that DISH is held to its prior lease obligations. Excluding the impact of DISH, the company reported continued growth in tower tenancy and a steady lease application volume.

Selling a portion of its spectrum holdings has been a boon for Array. In January, Array closed on the sale of certain 3.45 GHz and 700 MHz wireless spectrum licenses for roughly $1.02 billion to AT&T (NYSE: T), Inside Towers reported. 

Array has additional agreements with T-Mobile to sell 700 MHz spectrum licenses, AWS and a portion of the 600 MHz put/call totaling $178 million in aggregate expected proceeds, subject to closing conditions and regulatory approvals. On May 5, 2026, Array closed on the sale of certain 700 MHz wireless spectrum licenses related to this agreement for total proceeds of $74.8 million and expects the balance to close by the end of 2026. 

It also expects to close in Q2/Q3 2026, the sale of certain AWS, Cellular and PCS wireless spectrum licenses to Verizon (NYSE, NASDAQ: VZ) for a purchase price of $1.0 billion, subject to receipt of regulatory approvals. Array has agreed to grant Verizon certain rights to lease such licenses prior to the transaction close. 

On Thursday, parent company, TDS (NYSE: TDS), presented the Array Board of Directors with a letter setting forth a non-binding proposal to acquire all of the outstanding Array Common Shares that are not owned by TDS in an all-stock transaction. TDS owns approximately 81.9 percent of the outstanding capital stock of and 95.9 percent of the voting interests in the Company. Array says a special committee of independent and disinterested directors of the Array Board of Directors has been formed to evaluate this proposal.