Posts Tagged ‘wimax’

Clearwire Says Bankruptcy Is a Possibility

Friday, March 25th, 2011
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No investor in a company ever wants to hear the company name and “bankruptcy” in the same sentence. But that is precisely what Clearwire’s interim CEO did at the recent CTIA show. Talking about Clearwire’s current challenges,John Stanton, Clearwire chairman and interim chief executive officer, said the firm remains focused on raising capital to continue to build out its network, but also said he didn’t rule out bankruptcy as a possibility.

“Bankruptcy is always an ugly option,” he said. “That dynamic is not in the best interest of the shareholders,”Stanton said. The reason Clearwire even is talking about that possible contingency is that it is a public company and already knows it will run out of operating capital by the end of 2011 unless new investment can be found. The company currently does not foresee reaching a break even position, on an operating cash flow basis, until sometime in 2012.

Clearwire: Bankruptcy Cannot be Discounted


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Sprint Announces First Fruit of New Multi-Mode Network

Thursday, March 17th, 2011
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Sprint announced plans to expand its push-to-talk feature more broadly on its 3G CDMA network in the fourth quarter of 2011. As part of the launch, Sprint will offer an initial set of handsets with features designed for workgroups that rely on push-to-talk. Sprint also is launching a new push-to-talk brand called “Sprint Direct Connect.”

Sprint Direct Connect service is described by Sprint as a tangible benefit of Network Vision, Sprint’s blueprint to deploy a revamped network capable of supporting CDMA, WiMAX and LTE from a single set of base stations. Network Vision is expected to “consolidate multiple network technologies into one seamless network” with better coverage, quality and speed; better network flexibility; reduced operating costs; and improved environmental sustainability, Sprint says. See http://newsroom.sprint.com/news/sprint-announces-network-vision-network-evolution-plan.htm.

Sprint’s $5 billion network modernization program might also save the company a huge amount of money: possibly $10 billion to $11 billion over seven years. That would be reason enough to pursue the upgrade. will decrease the number of the carrier’s cell sites from 66,000 to 46,000, the company’s CFO has said.

More important are the potential strategic options, such as allowing Sprint the ability to deploy its own Long Term Evolution network, on its own facilities and using its owned spectrum, instead of relying on Clearwire facilities, even though Sprint owns 54 percent of Clearwire.


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4G: Different Value for Users, Networks

Tuesday, March 8th, 2011
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For most end users, fourth-generation networks, whether using Long Term Evolution, WiMAX or HPSA-Plus, are probably about faster speeds and therefore better experience. For mobile service providers, the primary advantages, for the moment, arguably are more about ensuring there is enough bandwidth to meet growing mobile broadband demand.

That might change over time, as new applications are developed. But, at least for the moment, mobile service providers likely view 4G as important primarily because it provides lower-cost bandwidth to be sold, and not so much because it is faster than 3G, or even clearly offers a differentiated end user experience.


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