Sprint CEO talks option of LTE-based 4G, but mum on mergers
updated 10:50 am EDT, Tue July 13, 2010
Sprint CEO says it is looking into LTE-based 4G
Sprint Chief Executive Dan Hesse revealed in a recent interview that the wireless provider may launch a next-generation LTE data network for its handsets. According to the FT report, Sprint, which also partners with Clearwire on the 4G WiMAX network, has enough spectrum for LTE as well. Sprint is also seeking hardware partners to build the infrastructure for the LTE network.
Chinese telecoms supplier Huawei Technologies is interested in supplying this hardware to Sprint, with Motorola and Samsung also potential candidates.
Because both Sprint and competitor T-Mobile are planning to go to LTE technology, there are rumors of a possible tie-up between the companies. Analysts believe the two companies need to merge in order to effectively compete with larger providers in the US market. Hesse did admit there was "logic" in a merger with T-Mobile if they both used the same 4G technology but wouldn't say whether or not any talks were underway.
Consolidation on this level could significantly shape the US cellular market. It would reduce theoretical competition but would also give AT&T, Sprint, T-Mobile and Verizon the same 4G standard. Although frequency support is likely to be different, the technology could let an LTE phone on one network port to the other with few if any changes. The current US phone market has made converting devices like the iPhone difficult, as Apple would have to support unusual 3G bands on T-Mobile as well as create a new CDMA version for Sprint and Verizon.
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right....
Analysts believe the two companies need to merge in order to effectively compete with larger providers in the US market.
No, analysts believe the companies should merge because it would make their stock more attractive. You always here how these already large companies need to 'merge' in order to 'compete' with other large companies. Yet half the time these 'needed' mergers are so debt-laden that if everything doesn't go just right, the bigger company will be on the ropes. And most of the time, all it does is allow them to spend billions 'merging' their corporate and business structure, consolidating jobs (not high-end corporate jobs of course), then, since they can now 'compete' with the big boys, they'll raise their prices to match the others in the industry since, well, there's less competition to pressure them to do anything else. Plus they have to pay off all that debt.
Although frequency support is likely to be different, the technology could let an LTE phone on one network port to the other with few if any changes.
Sure you COULD do that. Most phones support various frequencies (like the iPhone, for example). So they could just support all the LTE frequencies in the US and be done with it.
Unless they sign an exclusive deal with, say, ATT, and then they'll make sure their phones support ATT's LTE frequencies but not T-Mobile's (gee, just like the iPhone does now with 3G!) Or the phone is locked to the carrier and you can't just port it without breaking your warranty (gee, just like the iPhone does now!).
The current US phone market has made converting devices like the iPhone difficult, as Apple would have to support unusual 3G bands on T-Mobile
Wow! Who knew T-Mobile had 'unusual' 3G bands.
BTW, what makes a band 'unusual'? Is it the way it walks?
as well as create a new CDMA version for Sprint and Verizon.
They wouldn't need to create a 'new' CDMA version. They could just create a phone that also has CDMA reception capabilities.
h***, it can't be that hard. Even Palm makes a CDMA phone.