Options for Sprint? December 6, 2007
Posted by Ari Zoldan in Analyses and Speculations.trackback
With news that Sprint is soft launching “in the next few days” in the Baltimore/DC area, one can’t help but think of the company’s recent fallout with Clearwire. Since then, few details have been released concerning what route the company will take. One option that is being considered, however, is the idea of spinning off Xohm/WiMAX as another company. This tactic would apparently be used to attract investors, being that Sprint’s financial performance as of late has not been optimal.
However, an interesting point is raised by Tim Gray in his TMCnet article: if Sprint indeed spins off Xohm, that would leave the company devoid of a 4G technology. This may very well put Sprint at a developmental disadvantage, particularly since other companies like Verizon and AT&T are adopting LTE as their choice for a 4G technology. By relinquishing Xohm and all that it represents, Sprint could loose its long-term reach on the wireless industry. What remains to be seen is what other options Sprint is looking at for resolving the issue of funding for Xohm–hopefully options that will not jeopardize the company’s prospective relationship with 4G technologies.
Technorati Tags: WiMAX, 4G, Sprint, Xohm, Ari Zoldan
Ari Zoldan
Launch 3 Communications

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