Sprint Offers $2.1 Billion for Clearwire
Dec 13, 2012, 8:03 AM by Eric M. Zeman
Sprint today offered to buy the remaining 49% of Clearwire that it doesn't already own for $2.1 billion. The bid comes at a time when Sprint is trying to consolidate and simplify its operations and network plans moving into the future. Sprint, Google, Intel, and others formed Clearwire in 2008 with the goal of creating a nationwide WiMax network. Costs and slow uptake of the service doomed Clearwire's WiMax efforts. The company, like Sprint, decided to change from WiMax to LTE, a process that is still ongoing. In acquiring Clearwire, Sprint will also gain significant spectrum holdings, which it can use to supplement its nascent LTE 4G network. Sprint has already dumped billions of dollars into Clearwire. Sprint is also in the process of selling 70% of itself to Japan's Softbank in a deal that is not expected to close until next year.
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