The Department of Justice gave its blessing Friday to T-Mobile’s $26.5 billion acquisition of its closest rival, Sprint, after confirming it has reached an agreement with five states that had previously raised objections to the deal.

While the merger between the number-three and -four players in the wireless market effectively reduces competition, the Justice Department has demanded that both companies must sell key assets to the satellite company Dish, which in turn will attempt to create a new wireless service for consumers.

Specifically, Sprint must sell its prepaid phone products, Boost Mobile and Virgin Mobile; and T-Mobile must help Dish develop its new service. T-Mobile and Sprint must provide Dish with 20,000 cell sites and hundreds of retail locations. For the last few years, Dish has been acquiring the wireless spectrum necessary to run a phone service but has not in effect had the ability to switch it on for commercial use.

More at NBC News.