Sprint Nextel's network partner Clearwire hasn't been able to find any other big wholesale customers nor sell any of its spectrum, so selling out to Sprint is the only real option for its shareholders, the company said Monday.
Verizon Wireless reportedly has offered US$1 billion to $1.5 billion for some of Clearwire's spectrum leases, possibly complicating Sprint Nextel's attempt to buy out the company in conjunction with its acquisition by Softbank.
Sprint Nextel and Softbank have pledged to keep Huawei Technologies products out of the Sprint network and try to replace Huawei gear that is already in Clearwire's network, according to a U.S. lawmaker.
Dish Network has offered to buy Clearwire for US$3.30 per share, throwing a wrench in Sprint Nextel's deal to buy its mobile broadband partner for $2.97 per share.
An investor in Clearwire has stepped up its fight to get a better price for the mobile operator, but Clearwire's alternatives to a Sprint Nextel buyout may be limited due to the nature of its spectrum and its business.
Sprint Nextel will spend US$2.2 billion to take complete ownership of Clearwire, a move that will help it expand its network capacity.
Sprint Nextel's proposed buyout of network partner Clearwire may be inevitable, and it could help Sprint keep its signature unlimited mobile data plans alive.
Sprint Nextel has offered US $2.1 billion, or $2.90 a share, for the nearly one-half interest in mobile broadband firm Clearwire that the company doesn't already own.
Sprint Nextel is in negotiations to acquire the remainder of Clearwire, its 4G WiMax network partner, according to news reports.
A major investor in WiMax operator Clearwire told the company's board on Thursday to sell its excess spectrum for up to US$9 billion to prevent Sprint Nextel from buying out the company at a discount.
Clearwire's big payday on Tuesday, when it raised US$734 million through a stock offering and a new investment by majority owner Sprint Nextel, helped the WiMax carrier but didn't seal the deal on its planned LTE network.
Clearwire plans to raise as much as $345 million in stock transactions to help fund its LTE (Long Term Evolution) network deployment and other activities.
At least one of the cable operators that struck a wireless spectrum deal with Verizon on Friday now plans to stop reselling WiMax mobile service from Clearwire.
Sprint Nextel may help finance Clearwire's LTE network and keep offering WiMax service through 2015 under a set of agreements worth as much as US$1.6 billion that the companies laid out on Thursday.
WiMax carrier Clearwire has stopped selling postpaid service plans and dual-mode 3G-WiMax client devices, two moves that make it less of a competitor to its main wholesale customer, Sprint Nextel.
Most Popular Reviews
- 1 2016 Ford Mustang EcoBoost review
- 2 Synology DS216+ Review
- 3 Review: TCL C1 series 4K TV
- 4 Sony 75-inch UHD TV (X9400C) review: Sony and Android are a winning duo
- 5 LG 55EG960T OLED UHD TV
Join the Good Gear Guide newsletter!
Best Deals on Good Gear Guide
Latest News Articles
- Frazzled or burnt out? You need downtime but where do you find it?
- SurveyMonkey: Pokémon Go popularity may have already peaked
- Report: Apple Car launch date slips back a year to 2021
- Pokémon Go and the demon-haunted world
- Gaming desktops with AMD Zen chips will be hard to come by this year
GGG Evaluation Team
First impression on unpacking the Q702 test unit was the solid feel and clean, minimalist styling.
- FTSocial Media AssistantQLD
- FTDesktop EngineerNSW
- CCApplication Tester - Windows 10 ProjectWA
- CCContract Analyst Programmer (J2EE) 160721/AP/075Asia
- CCBusiness Analyst - Logistic and TransportVIC
- FTSQL DATA AnalyticsNSW
- FTDesktop Specialist - Application PackagingACT
- FTProject Manager- Change ManagementSA
- CCSolution Architect - Supply ChainNSW
- CCHelpdesk OfficersNSW
- FTMobile DeveloperWA
- FTSystems Applications ManagerACT
- FTSoftware Tester | Innovation | Business FacingNSW
- FTContinuous delivery application deployment automation specialist (DevOps)NSW
- FTCloud EngineerVIC
- CCSenior Tester - Automation / Telecommunications (Urgent)NSW
- CCFrontend DevelopersQLD
- CCProject Coordinator/ Jr Business Analyst- Govt backgroundNSW
- FTSAP FS-PM/FS-PQM SpecialistVIC
- FTInfrastructure Technology Platform ManagerVIC
- FTDefence Network EngineerACT
- FTSenior Manager (Business Data Management)NSW
- FTSCCM Applications PackagerWA
- FTProduct Owner - MarketingNSW
- CCDevOps EngineerVIC