consumer electronics equipment

Verizon Wireless and Alltel are merging in a $28.1 billion deal that analysts said could have a ripple effect through the U.S. wireless industry -- if the integration goes smoothly.

Verizon Wireless' acquisition crowns it king of the carriers in the U.S., dethroning AT&T and possibly signaling an eventual acquisition of Sprint Nextel, analysts said. Verizon will add 13 million clients in 34 states and save about $9 billion from the purchase. Synergies are expected to generate incremental cost savings of $1 billion in the second year after closing.

Sprint Nextel and Clearwire on Wednesday announced a $14.5 billion initiative to combine their wireless broadband businesses and form a new wireless communications company.

Named Clearwire, the new company will focus on expediting deployment of the first nationwide WiMAX network to provide widespread mobile broadband.