Clearwire Investor Wants FCC to Block Sprint Sale
Crest Financial, an investment firm that owns about 8% of Clearwire, plans to ask the Federal Communications Commission to prevent Sprint from acquiring the remainder of the troubled mobile broadband company. Sprint owns just over 50% and is looking to acquire the remaining 49%. At issue is the price offered by Sprint for Clearwire. Sprint bid $2.97 per share for a total of about $2.2 billion. Crest believes the per-share price offered by Sprint "grossly undervalues Clearwire" and its spectrum holdings. Crest plans to argue to the FCC that by undervaluing Clearwire's spectrum, it could result in lost revenue for the government in future spectrum sales. "The merger is therefore a bad deal all around for Clearwire shareholders and also for the public at large," said Dave Schumacher, a lawyer for Crest. Crest has already filed a separate lawsuit seeking to block the sale to Sprint. Crest is also hoping to prevent Comcast, Intel, and Bright House Networks, which combined own 13% of Clearwire, from voting on the deal due to their close business ties with Sprint. The deal needs federal approval and the approval of both Sprint's and Clearwire's boards.
Sprint's WiMax Shutdown May Halt Service for Charities
Sprint plans to deactivate its WiMax network on Nov. 6, but some charities say the change will eliminate internet service for some 300,000 Americans altogether.
Sprint and T-Mobile Filing with the FCC On June 18
The FCC revealed that it expects Sprint and T-Mobile to file on Monday June 18 the necessary paperwork needed for Sprint to transfer control of its spectrum licenses and other assets to T-Mobile. The FCC opened a docket ahead of the expected action.
T-Mobile, Sprint Reach Breakthrough On Potential Merger
T-Mobile and Sprint have made significant progress in ironing out merger terms, according to Reuters. T-Mobile and Sprint have made a "major breakthrough" on a merger between them.
AT&T Ditching its Band 71 Licenses
AT&T is selling $1 billion worth of recently-acquired radio spectrum licenses to an obscure Virginia company, according to documents filed recently with the FCC. The spectrum in question is all (or nearly all) of the 600 MHz (band 71) licenses that AT&T acquired in an FCC auction just one year ago.
Sprint to Skip 600MHz Incentive Auction
Sprint today said it will not participate in the 600MHz reverse auction planned for next year. The company believes its spectrum position is "sufficient to provide its current and future customers great network coverage." Sprint owns significant amounts of spectrum, but much of it is concentrated in the 2.5GHz range.