Excerpt from Good Day, BWIA - Monday on Broadband Wireless Internet Access (BWIA) / WiMAX News:
Stafford Smith asked Wall Street sees the Sprint Nextel retreat from a joint Wimax network as big setback for Clearwire. Do you agree? Yes, and No. Yes, that the Sprint Nextel / Clearwire agreement was a big win for Clearwire - they would have given them enormous benefit of their
customers having roaming access to much bigger network coverage than
what Clearwire could have done on their own - size of team that they
can devote to building out network, finances, spectrum acquisition and
footprint, etc. Not to mention that Clearwire would have been able to
offer their customers nationwide wireless telephony service immediately
via Sprint's existing CDMA network. Overall, the agreement would have
been a huge win for Clearwire. No, that Clearwire
would have been saddled with, and attention diverted by, dealing with a
company with enormous legacy issues, including circuit-switched
telephony technology, last-generation billing and management systems,
huge personnel legacy and "worldview" issues, and thorny migration of
Nextel users (those that haven't already quit) from 800 MHz to Sprint's
1.9 GHz CDMA network.
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Excerpt from Good Day, BWIA - Friday in Broadband Wireless Internet Access (BWIA) / WiMAX News:
Interesting story,
but something else very interesting was in the article - mentions of
the Google Gphone; that sparked several interesting mental
juxtapositions. First... my prediction is that Sprint will in fact bail
out on WiMAX and essentially lease, sell, or merge their 2.5 GHz
spectrum in a joint venture with Clearwire. Whatever form it takes,
Clearwire's Craig McCaw's Machiavellian manipulations extending back
close to a decade will come to fruition and he will be, defacto, in
charge of the vast majority of 2.5 GHz spectrum in the US. It boils
down to Clearwire's stockholders making a pure play bet on the
ascendance of "pure" Broadband Wireless Internet Access and Sprint's
stockholders fearing "a costly distraction from the carrier's core
business". Clearwire stockholders kind of get it, but mostly they're
betting on McCaw to "do it again! Sprint's stockholders don't
understand that Sprint wireless services are technology-driven, and if
you don't have the right technology, versus your competitors, you end
up desperately scrambling to catch up; kind of like what the exodus of
Sprint customers is indicating right now.
Continue reading "WSJ Reports Sprint Considering Merger With Clearwire" »
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