GRAND RAPIDS – Sprint Nextel and Clearwire announced on Monday they will work together to speed up and expand the deployment of a nationwide mobile WiMAX network ? including on in Grand Rapids ? as well as collaborate on products and services, branding, marketing, and distribution.
The two companies said they expect the arrangement to foster ?quicker, broader and more efficient deployment of a mobile WiMAX broadband network than either company could accomplish on its own? and to ?enable each company to increase capital efficiency and reduce overall network development and
operating costs.?
Clearwire is working aggressively to build a WiMAX network here in Grand Rapids. WiMAX service is expected to be available in the city by the end of the calendar year.
The City views Clearwire?s agreement with Sprint Nextel as a very positive partnership for Grand Rapids? WiMAX users. The planned arrangement is expected to benefit users in many ways, including:
Expanded nationwide coverage with seamless roaming from city to city.
Greater marketplace incentives for companies ? including Intel, Motorola, Samsung, and Nokia ? to create an ecosystem of chips, products and software utilizing mobile WiMAX connection.
This will mean embedded chipsets in computing and consumer electronic devices and other innovative equipment.
The expanded market is also expected to result in increased development of WiMAX-based services.
The anticipated exchange between Sprint Nextel and Clearwire of a 2.5Ghz spectrum is expected to enhance service.
Increased efficiency, shared infrastructure, and reduced development and operating costs will improve the sustainability of both companies.
The increased capital and spectrum available to Clearwire as a result of the partnership is expected to make the City?s WiMAX service even more sustainable as evidenced by Clearwire?s stock increase of
more than eight points on Wall Street.
The agreement between the two companies is subject to approval.
The agreement is currently a letter of intent to be finalized in 60 days.
The agreement must be approved by both companies.
The partnership must be approved by the FCC.
The arrangement must also pass the Department of Justice?s Antitrust approval process.
Mobile WiMAX is a wireless broadband technology that works by transmitting radio signals to and from nearby towers instead of using a traditional phone or cable line. It is designed to operate more than five times faster than today’s third-generation wireless networks at lower cost.
Mobile WiMAX technology is expected to allow users to wirelessly download full-length movies and songs, conduct live video-conferences from remote locations, and perform other interactive multi-media applications anywhere in the coverage area, mobilizing the full power of the open Internet.
Clearwire will provide discounted service of $9.95 per
month to up to 5 percent of the total household count in Grand Rapids for qualifying low-income citizens to be administered by the Community Media Center. To better serve visitors and occasional users, free Wi-Fi hot
spots will be provided throughout the City.
For more information, click on WirelessGR.Com
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