Wireless licenses are considered indefinite-lived intangible assets. Indefinite-lived intangible assets are not subject to amortization but instead are tested for impairment annually, or more frequently if an event indicates that the asset might be impaired. There were no impairment charges related to the Company’s indefinite-lived intangible assets during the three and nine months ended December 31, 2025 and 2024.


	Nine months ended December 31,
	2025		2024
Balance at the beginning of period	$	228,983	$	216,743
Acquisitions	24,294		8,626
Sale of intangible assets	(16,824)		—
Exchanges - licenses received	121,277		23,838
Exchanges - licenses surrendered	(26,953)		(2,992)
Balance at the end of period	$	330,777	$	246,215

During the nine months ended December 31, 2025 and 2024, the Company entered into agreements with several third parties in multiple U.S. markets to acquire, retune or swap wireless licenses for cash consideration (“deals”) and made Anti-Windfall Payments to the U.S. Treasury Department. The initial deposits to incumbents are recorded as spectrum receivable on the Company’s Consolidated Balance Sheets and are refundable if the FCC does not approve the sale, retuning or swap of the spectrum. The initial deposits are transferred to deferred broadband costs or intangible assets on the Company’s Consolidated Balance Sheets, as applicable, upon meeting the relevant deal milestones. The final payments related to closed retuning or swap deals are recorded as deferred broadband costs on the Company’s Consolidated Balance Sheets. The final payments for license purchases or Anti-Windfall Payments are recorded as intangible assets on the Company’s Consolidated Balance Sheets.

At times, the Company exchanges its narrowband licenses for broadband licenses related to spectrum agreements. Upon receipt of FCC approval, the spectrum licenses acquired as part of an exchange of nonmonetary assets are recorded at their new accounting cost basis as of the exchange date (i.e., the lower of the 600 MHz auction or estimated contract price). The difference between the accounting cost basis of the spectrum licenses obtained, carrying value of the spectrum licenses transferred and cash paid, if any, is recognized as a gain or loss on exchange of intangible assets reported separately on the Company’s Consolidated Statements of Operations.

During the nine months ended December 31, 2025, the FCC granted the Company broadband licenses for 173 counties. The Company recorded the new broadband licenses at their accounting cost basis of approximately $121.3 million. In connection with receiving the broadband licenses, the Company disposed of $27.0 million, related to the value ascribed to the narrowband licenses it relinquished to the FCC for the same 173 counties. The total carrying value of the narrowband licenses included the cost to acquire the original narrowband licenses, Anti-Windfall Payments paid to cover the shortfall in each county and the clearing costs (including additional clearing cost for previously exchanged narrowband licenses). As a result of the exchange of narrowband licenses for broadband licenses, the Company recorded a gain on exchange of intangible assets of $0.8 million and $94.3 million for the three and nine months ended December 31, 2025, respectively.

During the nine months ended December 31, 2024, the FCC granted the Company broadband licenses for 20 counties. The Company recorded the new broadband licenses at their accounting cost basis of approximately $23.8 million. In connection with receiving the broadband licenses, the Company disposed of $3.0 million, related to the value ascribed to the narrowband licenses it relinquished to the FCC for the same 20 counties. The total carrying value of the narrowband licenses included the cost to acquire the original narrowband licenses, Anti-Windfall Payments paid to cover the shortfall in each county and the clearing costs (including additional clearing cost for previously exchanged narrowband licenses). As a result of the exchange of narrowband licenses for broadband licenses, the Company recorded a gain on exchange of intangible assets of $20.8 million and $20.8 million for the three and nine months ended December 31, 2024, respectively.

During the nine months ended December 31, 2025, the Company transferred to LCRA the 900 MHz Broadband Spectrum and associated broadband licenses related to 60 counties for the total consideration of $29.3 million. The total consideration included milestone payments of $14.0 million received as of December 31, 2025 and $15.3 million reduction of contingent liability. As a result, the Company recognized a reduction in intangible assets of $0.4 million and $16.5 million for the three and nine months ended December 31, 2025, respectively. The Company also recorded a $0.3 million and $12.8 million gain on sale of intangible assets for the three and nine months ended December 31, 2025, respectively.

During the nine months ended December 31, 2025, the Company transferred to Oncor Electric Delivery Company LLC (“Oncor”) the 900 MHz Broadband Spectrum and associated broadband licenses related to three counties for the total consideration of $0.3 million which was received in May 2025. As a result, the Company recognized a reduction in intangible assets of $0.3 million and recorded an $8 thousand gain on sale of intangible assets for the nine months ended December 31, 2025.

During the nine months ended December 31, 2024, the Company did not transfer any 900 MHz Broadband Spectrum and associated broadband licenses. As a result, the Company did not recognize a reduction in intangible assets or record any gain on sale of intangible assets for the three and nine months ended December 31, 2024, respectively.