Printed from http://www.electronista.com

Sprint to pay at least $1b over two years for Clearwire use

updated 01:00 pm EDT, Tue April 19, 2011

Sprint commits min of $1b in 2 years to Clearwire

Sprint and Clearwire have come to a new agreement that required them to settle a previous dispute over wholesale pricing. Under the new deal, Clearwire will receive a minimum of $1 billion over the course of the next two years from Sprint in exchange for access to its high-speed WiMAX network for mobile devices. The deal comes at a crucial time for Clearwire, as it was trying to raise capital as early as late last year.

"It allows us to plan for our expansion," Clearwire interim Chief Executive John Stanton said, commenting on the deal.

The agreement will see Sprint pay $300 million in 2011 and $550 million in 2012. Another $175 million is earmarked for use over the next two years and farther into the future. These are the minimum numbers, and if usage exceeds expectations, they will pay more.

The money will be put into expanding the 4G service into more markets across the US. More money will be needed if a second variation of the network is to be developed and more widely adopted in the industry. [via Wall Street Journal]



By Electronista Staff
Post tools:

TAGS :

toggle

Comments

Login Here

Not a member of the MacNN forums? Register now for free.

toggle

Network Headlines

toggle

Most Popular

Sponsor

Recent Reviews

Logitech Hyperion Fury mouse

Selecting the correct gaming mouse comes down to finding a device that balances the needs of a user with a price they can afford. Ofte ...

Life n Soul BM211 Bluetooth speaker

Bluetooth speakers aren't only for listening to some music at the park or on a long bus ride, but can also be built with tablets in mi ...

Epson PowerLite Home Cinema 2030 projector

With high-definition televisions now the standard, 4K televisions becoming the next big thing, and plasma TVs going the way of the din ...

Sponsor

toggle

Most Commented

 
toggle

Popular News