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Clearwire not deterred by China Mobile setback.


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I'm sure everyone has heard that the PRC has delayed issuing TD-LTE licenses for "up to three years" while it requires carriers to upgrade its infrastructure and vendors to have capable devices. Clearwire said it is going ahead with it's plans to deploy TD-LTE in the U.S. Did they have any other choice?

 

Quote: Fiercewireless said:

 

"Clearwire has said it expects to deploy its first wave of 5,000 TDD-LTE cell sites by June 2013. Clearwire has been working with Sprint Nextel (NYSE:S), its majority owner and largest wholesale customer, to identify sites for Clearwire's planned TDD-LTE network. Clearwire is looking to deploy its LTE Advanced-ready TDD-LTE network mainly in urban areas, where traffic is heaviest."

 

http://www.fiercewireless.com/story/clearwire-unfazed-chinese-delay-td-lte-licenses/2012-03-12

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Clearwire cannot afford to wait for China Mobile and its delays for TD-LTE. Clearwire is already in bad financial shape. With the upcoming Sprint LTE network in June, you can expect to see all the original EVO customers jump on LTE devices thus lowering Clearwire's wholesale Wimax customer base and lower revenue.

 

From June 2012 to June 2013 will be a very tough time period for Clearwire since they have to deal with the loss of Sprint customers as well as the lack of new wholesale partnerships. If Clearwire can manage to steal the Lightsquared wholesale LTE customers to make up for the loss of Sprint's Wimax wholesale customers they should keep them afloat until 2013. Clearwire cannot afford to delay the June 2013 TD-LTE launch as well as the additional 3,000 towers that should be going up shortly afterwards. Clearwire needs to have the TD-LTE network up and running ASAP so that they can start collecting revenue instead of begging Sprint for more.

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Now that LS2 is as good as dead (unless it gets an Easter resurrection), I think a lot of ex-LS2 customers are sitting on the fence to see if Clearwire will make it and how big it's network will be next year before committing.

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Now that LS2 is as good as dead (unless it gets an Easter resurrection), I think a lot of ex-LS2 customers are sitting on the fence to see if Clearwire will make it and how big it's network will be next year before committing.

 

Could very well be and, that's why I dont understand why clearwire is screwing around watching the time go by all the time. Supposedly they got all this financing in Dec/Jan they needed, and have been testing their LTE for over a year. Just seems like a screwed up deal.

I'm just glad Sprint is not going to be so reliant on them anymore and is building out Network Vision/LTE on their own, with 3 reputable contractors.

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Could very well be and' date=' that's why I dont understand why clearwire is screwing around watching the time go by all the time. Supposedly they got all this financing in Dec/Jan they needed, and have been testing their LTE for over a year. Just seems like a screwed up deal.

I'm just glad Sprint is not going to be so reliant on them anymore and is building out Network Vision/LTE on their own, with 3 reputable contractors.[/quote']

 

I think Clearwire should go after these former LSq customers. I can see a problem being that Clearwire is on very high spectrum, so it would not work out as well for a end-to-end solution. Lower band spectrum would be needed to accompany it, and that is only really a option for customers who are carriers.

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Sprint has an agreement w/ Clear to sell its services as a package with Sprints Network. Someone in marketing needs to start getting the word out.

 

But if one where to go through Sprint, how exactly will it help Clearwire's financial situation?

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I'm still puzzled by all the extra funding Clearwire needs. I've commented before about this, but they originally needed $600 million to convert its entire network to LTE and said it would take a year to do so. Clearwire has gotten that much and more and we're looking at over a year and a half to do a patchwork network that will benefit Sprint more in support LTE that benefitting Clearwire as a true wholsale provider.

 

All this money is being flushed somewhere, thats why I'm an advocate of Sprint just taking over Clearwire. If they could make a run for Metro PCS and all the work it would entail to integrate that unit into Sprint, A Clearwire aquisition would be small potatoes.

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I'm still puzzled by all the extra funding Clearwire needs. I've commented before about this, but they originally needed $600 million to convert its entire network to LTE and said it would take a year to do so. Clearwire has gotten that much and more and we're looking at over a year and a half to do a patchwork network that will benefit Sprint more in support LTE that benefitting Clearwire as a true wholsale provider.

 

All this money is being flushed somewhere, thats why I'm an advocate of Sprint just taking over Clearwire. If they could make a run for Metro PCS and all the work it would entail to integrate that unit into Sprint, A Clearwire aquisition would be small potatoes.

 

Agreed, thats pretty much what I was getting at in post #4.

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I'm still puzzled by all the extra funding Clearwire needs. I've commented before about this, but they originally needed $600 million to convert its entire network to LTE and said it would take a year to do so. Clearwire has gotten that much and more and we're looking at over a year and a half to do a patchwork network that will benefit Sprint more in support LTE that benefitting Clearwire as a true wholsale provider.

 

All this money is being flushed somewhere, thats why I'm an advocate of Sprint just taking over Clearwire. If they could make a run for Metro PCS and all the work it would entail to integrate that unit into Sprint, A Clearwire aquisition would be small potatoes.

 

But if they acquire clearwire their spectrum holdings look much bigger overall than they do so now....I like keeping them separate as it leaves the door open to Sprint getting in spectrum auctions and not being looked at like VZ is right now since they have the most and will be tougher for them to get said auctions since the FCC has voice in it to keep competition fair. Least I think that's right, no?

Yes right now sprint doesn't have the $ to participate in them really now but down the line they will.

 

I'm sure with sprint owning majority in Clear they know what their $ is exactly being used for there so wouldn't make too too much of a difference if they merged fully. Least I see more negatives than positives at this point in time.

 

 

Sent from my PG86100 using Tapatalk

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But if they acquire clearwire their spectrum holdings look much bigger overall than they do so now....I like keeping them separate as it leaves the door open to Sprint getting in spectrum auctions and not being looked at like VZ is right now since they have the most and will be tougher for them to get said auctions since the FCC has voice in it to keep competition fair. Least I think that's right, no?

Yes right now sprint doesn't have the $ to participate in them really now but down the line they will.

 

I'm sure with sprint owning majority in Clear they know what their $ is exactly being used for there so wouldn't make too too much of a difference if they merged fully. Least I see more negatives than positives at this point in time.

 

 

Sent from my PG86100 using Tapatalk

 

You and I are on the same page. While I want Sprint to eventually acquire Clearwire for its spectrum assets, acquiring Clearwire now would mean that Sprint can not participate in future spectrum auctions for more favorable spectrum since they would have even more than Verizon or AT&T. I feel that currently Verizon and AT&T should not be able to participate in future spectrum auctions since they have double of what Sprint and Tmobile have so I am not going to be a hypocrite and say that if Sprint acquired Clearwire that Sprint should still be allowed to participate in spectrum auctions as well.

 

Until Sprint can acquire more favorable lower frequency spectrum (ideally the remaining lower 800 Mhz currently used for public safety for contiguous purposes with ESMR band) for coverage, I want Sprint and Clearwire to be remain separate. By keeping Sprint and Clearwire separate, it puts the pressure on Clearwire to deploy its 2.5 Ghz spectrum instead of Sprint had they acquired them.

 

I just hope that spectrum auctions are not available until 2014 or 2015 where Sprint can repair themselves financially to be able to participate in these auctions.

Edited by ericdabbs
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The FCC should require carriers to be built out on a certain percentage of their spectrum holdings before they can even participate in auctions. Carriers like AT&T would be forced to build out or sell their inactive holdings if they want to participate. That is what is fair to customers and competitive balance, but with every perspective buyer they eliminate, the price has the tendency to drop and there is always the power of the almighty dollar...

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