Clearwire Will Access $80 Million in Sprint Financing
Clearwire today indicated that it will tap into $80 million in financing made available by Sprint. The $80 million option was put in place as part of Sprint's plan to acquire the portion of Clearwire that it doesn't already own. Clearwire, which is transitioning from WiMax to LTE, needs the financing to continue operations. Clearwire can tap into an $80 million round once per month between now and October. The move complicates a separate acquisition offer from Dish Network, which wants to buy all of Clearwire, including the portions owned by Sprint. Dish indicated last month that it would likely withdraw its proposal if Clearwire accessed any of Sprint's financing. Dish has yet to respond formally to Clearwire's move.
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 to Cease Offering Contracts By Year's End
Sprint will soon stop asking customers to sign two-year contracts when purchasing new phones, says the Wall Street Journal. The change coincides with moves made by its competitors, including T-Mobile and Verizon Wireless.
Nonprofits Convince Judge to Delay Sprint's WiMAX Shutdown
Mobile Citizens, a not-for-profit organization that provides free and low-cost internet service to schools, has won an injunction preventing Sprint from shutting down its WiMax network. Sprint had planned to cease operating WiMax on Nov.
SoftBank Invests Another $73 Million in Sprint
SoftBank has purchased yet more shares of Sprint stock, boosting its stake in the company to just over 80%. SoftBank shelled out $73 million for about 16.8 million shares.