Softbank - New Sprint - Discussion

[bigsnake49]

This must have been one those "nice to haves" that Claure was mentioning last week. 

 

This is just an analyst's opinion. Nothing more and nothing less. Now, this is a fact, thou:

http://s4gru.com/index.php?/topic/6430-sprint-sells-its-3x3-mhz-of-900mhz-spectrum-to-former-nextel-execs/

[Fraydog]

I would consider the corporate jet fleet that Marcelo said he got rid of as a 'nice to have'.

For a data-driven future, I'd want to have owner's economics on the underlying pipes. Just recently I read about Sprint and Softbank being out there acquiring business customers in Japan to leverage Sprint's global Tier-1 backbone, something Softbank couldn't do on its own in the past.

Marcelo is a billionaire already. I'm sure he already has a NetJets account or his own jet.

[jamisonshaw125]

Hey... He's got to get around and quick. No reason for not having a private jet. I have a friend who's family owns a private jet. Lol. It's not that impractical if you're freakin loaded

[maxsilver]

Eh?? Sprint Seen Selling Long-Distance Network To Level 3

http://news.investors.com/091614-717576-level-3-possible-buyer-sprint-long-distance-network.htm?ven=yahoocp&src=aurlled&ven=yahoo

I would consider the corporate jet fleet that Marcelo said he got rid of as a 'nice to have'.

For a data-driven future, I'd want to have owner's economics on the underlying pipes. Just recently I read about Sprint and Softbank being out there acquiring business customers in Japan to leverage Sprint's global Tier-1 backbone, something Softbank couldn't do on its own in the past.

 

I don't think that's actually happened yet, but even if it does happen, it's not necessarily a bad thing for Sprint to not own their own wireline network.

 

Sprint's goal is to get cheap, reliable, competitive backhaul. Owning their own network and managing it well is one potential way to do that. But these aren't directly complimentary businesses, and it requires a lot of capital and effort to do -- focus Sprint would likely pull from running the cellular network. (That's not to say they are literally pulling people from cell towers to fiber lines or anything -- but as a whole organization, they aren't exactly well equipped or well funded enough to do a great job at both simultaneously).

 

Creating a strong partner with Level 3 can still help them out similarly. Level 3 needs revenue from big players, so they are well incentivized to support Sprint. Level 3 has a more focus on expanding fiber networks, and would probably give Sprint's fiber network and cell sites the extra attention it deserves. Both companies could have their incentives in the right place, and both would be individually better off in competing against Verizon/AT&T (on the wireline, and wireless side, respectively)

 

Similar plays have worked out well in the past. For example, T-Mobile has had a strong relationship with Zayo for many years, and that's often helped them get lots of competitively-priced backhaul to sites quickly and efficiently, without needing to directly pay AT&T/Verizon for wireline service. (It's not quite the same situation as Sprint/Level3, as there's no asset sale, but similar enough)

 

A sale of these Sprint assets to Level 3 would also artificially pump up Sprint's financials for a quarter, and likely jump Sprint's stock price up a bit. (Similar to TMO spectrum sale to Verizon). However, unlike T-Mobile's sale, Sprint selling wireline fiber would likely be perceived by some investors as a display of confidence in their wireless business. Neither of these are a huge deal, but both nice to have.

 

- - - -

 

TL/DR:  Vertical integration isn't always better. There's a lot of money that can be generated or saved by *not* vertically integrating.

 

[centermedic]

Yeah, still not sure why everyone values Freedompop so high. They offer service to the most subprime consumerbase possible, don't they? Someone correct me if I'm wrong.

Because they represent a revenue stream for Sprint. I don't know how much they are worth to Sprint.. I would be surprised if it was anything approaching $1 billion dollars and I am not quite sure why anybody would pay that much for them.

[JimBob]

Sprint will be the first carrier (via Boost Mobile) to offer the iPhone 6 and 6 Plus in the prepaid market:  http://www.bidnessetc.com/26143-boost-mobile-to-launch-iphone-6-6-plus/

[Conan Kudo]

Sprint will be the first carrier (via Boost Mobile) to offer the iPhone 6 and 6 Plus in the prepaid market:  http://www.bidnessetc.com/26143-boost-mobile-to-launch-iphone-6-6-plus/

Sprint's Boost/Virgin also don't have BYOD capabilities like MetroPCS, TracFone, and other GSM prepaid brands. Since most CDMA prepaid brands aren't allowed to activate iPhones, this is notable. What is odd, though, is that Virgin Mobile isn't part of this. 

[marioc21]

Sprint's Boost/Virgin also don't have BYOD capabilities like MetroPCS, TracFone, and other GSM prepaid brands. Since most CDMA prepaid brands aren't allowed to activate iPhones, this is notable. What is odd, though, is that Virgin Mobile isn't part of this. 

 

Boost may just be getting it first. VM later.  But, I have to think at some point Sprint will consolidate its prepaid brands.  What's the point in having 3? (Boost, VM, and Sprint Prepaid) Are there really 3 different market niches being served by those 3? 

[newboyx]

Sprint's Boost/Virgin also don't have BYOD capabilities like MetroPCS, TracFone, and other GSM prepaid brands. Since most CDMA prepaid brands aren't allowed to activate iPhones, this is notable. What is odd, though, is that Virgin Mobile isn't part of this.

Boost may just be getting it first. VM later. But, I have to think at some point Sprint will consolidate its prepaid brands. What's the point in having 3? (Boost, VM, and Sprint Prepaid) Are there really 3 different market niches being served by those 3?

I have a feeling that Virgin is going away sometime in the not to distant future.

 

Sent from my Nexus 7 using Tapatalk

[irev210]

This must have been one those "nice to haves" that Claure was mentioning last week. 

 

It's just amazing how far Sprint's backbone has fallen in the rankings.

 

They should have sold in 2008 when Level3 was much smaller.  Now, not sure why Level3 would need/want it.  Maybe another competitor.

[bigsnake49]

It's just amazing how far Sprint's backbone has fallen in the rankings.

 

They should have sold in 2008 when Level3 was much smaller.  Now, not sure why Level3 would need/want it.  Maybe another competitor.

 

They actually are in the process of upgrading to 100G and then 400G.

[utiz4321]

I think the most troubling part of that article is that they read sprint's comments on 2.5 the same way I did, as a pull back.

[EvanA]

Earnings results predictions have come again. http://www.fiercewireless.com/story/analysts-verizon-likely-lead-q3-subscriber-additions-while-sprint-struggles/2014-09-25

[Deval]

I have my own set of predictions, can I get paid in buckets like the analysis do?

 

Sprint will post their numbers soon, the stock will fluctuate, the sun will rise, Eli Manning will find a way to disappoint me, The Master Chief Collection will be the flagship game on the Xbox One for all time, till Halo 5.

[Paynefanbro]

If Sprint posts net additions, people will riot in the streets.

[cdk]

Well they have posted doom and gloom predicitions for Sprint for the last 2 quarters. Maybe they figure they will get it right if they predict it again....

 

[Paynefanbro]

Well they have posted doom and gloom predicitions for Sprint for the last 2 quarters. Maybe they figure they will get it right if they predict it again....

 

 

Well they've also been wrong the last two quarters too. They always forecast Sprint to lose more than they actually do.

[Conan Kudo]

Well they've also been wrong the last two quarters too. They always forecast Sprint to lose more than they actually do.

To their credit, they are usually rather close on the number of handset line losses, though.

[exadyne]

I'm looking forward to how to tame your band 41 coverage.

http://www.theverge.com/2014/9/28/6856707/japanese-telecom-giant-softbank-reportedly-in-talks-to-acquire

[kct1975]

Not sure if this is the right place to post this, but I thought that you all might find this interesting...

 

http://m.androidcentral.com/leaked-newsletter-shows-sprint-will-down-wimax-network-nov-6-2015 '> http://m.androidcentral.com/leaked-newsletter-shows-sprint-will-down-wimax-network-nov-6-2015