A&I Compliance

Jake Holder — Senior Compliance Analyst

Legacy Blog Post

Sprint, Softbank, and Clearwire: I could be a contender

Legacy October 2012 commentary on the Softbank/Sprint acquisition and implications for enterprise wireless buyers.

Legacy commentary from October 2012 — preserved for reference.

Sprint, Softbank, and Clearwire: I could be a contender

Originally posted October 2012

The proposed Softbank acquisition of Sprint creates an interesting dynamic for the third-place US wireless carrier. Sprint's longstanding capital constraints have limited its ability to compete on network buildout against Verizon and AT&T. A capital injection from Softbank — coupled with Sprint's existing Clearwire wholesale relationship — could give Sprint a credible path to a competitive 4G LTE footprint.

The wholesale-spectrum question matters most for enterprise telecom buyers. If Sprint consolidates Clearwire's 2.5 GHz spectrum, the prepaid and MVNO market gets a third serious-network option. Enterprise customers running multi-carrier mobility programs should watch how this plays out before committing to long-term carrier contracts.

For aggregated data on enterprise wireless contracts, carrier consolidation, and TEM cost trends, see the ModernIndex public-filings index.

Tags

tem · contract-negotiation · sprint · softbank · clearwire · wireless