Mobile operator Verizon is reportedly planning to introduce new price plans in the coming year enabling its customers to run multiple devices off one account. According to reports, Lowell McAdam, CEO, Verizon Communications has said that the carrier has been studying introducing the plans, which would allow a customer to use a pool of data or voice minutes spread across several handsets or tablets, for several years.

Further, he also said that Verizon could see usage of smartphones among its customers at 70 percent within a few years as compared with 40 percent today. McAdam said that having account-based pricing is the way to go as few consumers have four or five devices, with different plans for each. As per sources, rival operators Sprint and AT&T are also working towards introducing similar price plans.

 

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Clearwire Corp. has reportedly met its US$ 237 million interest payment as well as been successful in extending its network sharing agreement with Sprint. According to reports, on December 1, the Clearwire stock reached $ 2.38 at 9:56 a.m. (New York time) on NASDAQ, up by 33.1 percent from $ 1.78 on November 30.

Company reports reveal that Clearwire is expected to receive around US$ 1.6 billion over a period of four years, which would help provide financial stability to the company. As per sources, the new agreement will enable Sprint to purchase wholesale wireless capacity from Clearwire and resell services on the same to its customers.

Clearwire had earlier said it required $ 1 billion to upgrade its wireless network to include Long Term Evolution (LTE) technology and fund operations. The companies have reportedly said that under the agreement, Clearwire will receive $ 926 million in 2012 and 2013 for WiMax services and $350 million as initial payment for LTE services.

 

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Wireless internet service provider, Clearwire Corporation faces a decision of repaying its $ 237 million interest payment or keeping the amount to fund its wireless broadband services. According to reports, the company has enough funds to cover the payment, with $ 700 million in cash and short term investments as at September end, but needs around $ 1 billion to upgrade its technology for faster wireless services.

As per sources, the company has the option of a 30 day grace period within which it can make its decision. However, industry analysts have reportedly suggested that Clearwire is likely to make the payment in a bid to keep the investors happy for any future capital fund requirements.

Reports reveal that Clearwire’s decision may also be impacted by the network sharing agreement with Sprint. As reported earlier by Wireless Federation, Clearwire has been pushing for an extension of the agreement beyond 2012 so as to provide stability to its finances, but is yet to receive a commitment from the mobile operator.

 

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Clearwire Corporation, a U.S. based wireless internet service provider, has reportedly made a statement hinting at its inability to make a debt payment of US$ 237 million due on December 1 claiming that it would be a significant drain on the cash.

However, as per sources, industry analysts believe that this might just be a ploy by the company to receive financial support from wireless carrier Sprint Nextel Corp.

According to reports, Sprint being the largest shareholder in Clearwire, stands to lose the most if the carrier’s stock declines. Further, the two companies are co-dependent on each other; while Sprint relies on Clearwire to provide wireless service to its customers, Clearwire receives most of its revenue from Sprint.

Reports reveal that Clearwire claimed it needs around $1 billion to upgrade its network from the WiMax wireless technology to long-term evolution (LTE) technology. Further, sources say that Clearwire had $698 million of cash and short-term investments at the end of September with over $4 billion in debt.

 

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Wireless network operator Sprint, has reportedly become the first operator to launch wireless emergency alerts which help deliver critical and reliable communication services to consumers during crisis situations. According to reports, the service allows the Federal Emergency Management Agency (FEMA) to accept and deliver warning messages to wireless networks from the President of the United States, the National Weather Service and state and local emergency operations centers.

As per sources, Steve Elfman, President of Network Operations and Wholesale, Sprint has said that providing immediate, reliable wireless communications before, during and following an emergency situation is trademark of Sprint’s service and that they are proud to be the first wireless carrier in the U.S. to offer this service.

According to company reports, the 90-character alerts will be delivered at no charge to the customer and will have a distinctive vibration and audio tone similar to what is heard for emergency alerts on broadcast television and radio. Further, the notification icon for the wireless emergency alert will also be different from the regular message icon.

The test for these alerts is expected to be conducted by Sprint within this year along with the New York City Office of Emergency Management, the Department of Homeland Security’s Science and Technology Directorate, and FEMA.

 

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America based mobile network operator, Sprint, has reportedly launched new 3G and 4G mobile broadband plans, delivering an increased amount of data at lower rates than its rival carriers. According to reports, customers can choose from 6GB of combined on-network 3G/4G data usage for $49.99 per month or 12GB of 3G/4G data usage for $79.99 per month. The new plans reportedly deliver 20 percent more data for the same price as similar plans from Verizon and AT&T.

As per sources, Will Souder, Vice President (Pricing), Sprint has said that the company is committed to delivering exceptional value to its customers, and their new 3G/4G Mobile Broadband plans are the latest example of that. He added that Sprint gives customers more data at lower prices than competitors, so they can do more with their mobile broadband devices on Sprint’s 3G and 4G networks.

Company reports reveal that the $49.99/6GB and $79.99/12GB plans are compatible with all Mobile Broadband devices sold by Sprint, including tablets, dedicated mobile hotspot devices, USB modems, netbooks and notebooks. Further, Sprint is also launching a new plan available for tablets and dedicated mobile hotspot devices priced at $34.99 per month for 3GB of 3G/4G data usage, along with a new plan for tablets priced at $19.99 per month for 1GB of 3G/4G data usage.

 

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Research reports reveal that over 50 percent of American based mobile operator, Sprint’s, net new subscriber additions utilize ‘Lifeline’, a government subsidy program, offering Americans with low-income free wireless minutes every month.  According to reports, the service, termed as ‘Assurance Wireless’ by Sprint, enables the operator to earn revenue as and when these users cross their monthly minutes, apart from the government subsidies.

As per sources, Verizon Wireless and AT&T are also offering users similar offers. John Carney, Sr. Vice President (consumer marketing), Sprint has reportedly said the operators would not have targeted such low-income customers, had they not been offered the subsidies. Sources speculate that the number of Assurance Wireless users for Sprint may be nearing 2 million.

Industry analysts say that many users prefer the Lifeline option as the amount paid is much lesser than a fixed-line bill, even if the users crosses the number of minutes for the month. Further, as per reports, Sprint’s Assurance Wireless brand has earned between $50 million and $75 million as yet this year.

 

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Washington based Clearwire corp.’s shares rose by 8 percent to close at $1.89 after Sprint Nextel Corp. announced that it may help to financially support the carrier. According to reports, the funds received from Sprint would enable Clearwire to fund its operations and help pay for a planned network upgrade.

As per sources, Sprint is planning a debt sale and has said that the proceeds from the sale of the seven and ten year notes will be used for general corporate purposes, which may include, among other things, redemptions or service requirements of outstanding debt, network expansion and modernization and potential funding of Clearwire.

Reports suggest that Erik Prusch, CEO, Clearwire has said that they have one overarching goal which is to get the company to profitability. He added that they want to have a long-term WiMax commitment, a long-term LTE commitment, and funding.

 

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MetroPCS Communications Inc., an American mobile phone service provider, may reportedly enter into an agreement to buy assets from AT&T and T-Mobile, as the two companies hope to finalize their $39 billion merger, currently being blocked by the U.S. Justice Department. As per industry sources, the deal is likely to include subscribers and wireless spectrum and may be valued at less than $4 billion. AT&T has reportedly approached other smaller operators as well, however, MetroPCS with over $2 billion in cash and short-term investments, is emerging as the strongest candidate for the deal. Sources also suggest that Deutsche Telekom may help MetroPCS with the financing.

Industry analysts say that simply palming off some of T-Mobile’s subscribers or network is not enough for the government to allow the deal to go through, as the amount of assets being transferred are unlikely to transform any regional player into a national network. According to reports, in order to be a national competitor, MetroPCS needs as many as 25 million subscribers which is almost half the subscriber base of T-Mobile.

As per sources, MetroPCS reported a subscriber base of 9.1 million subscribers in June 2011 while T-Mobile, AT&T, Verizon Wireless and Sprint had a subscriber base of about 33.6 million, 100.7 million, 107.7 million and 53.3 million respectively in September 2011. Reports suggest that AT&T and MetroPCS may meet with the Justice Department in the next two weeks to see if this deal would persuade the regulator.

 

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Sprint, the third largest wireless telecommunications network in the United States, has introduced the Wireless CapTel app for individuals who are hard of hearing, on certain Android phones. The app enables users to read the conversation on their handset as they communicate in real time.

When a user makes a call on their handset, the app directly connects them to the CapTel service, which offers users an option to read the conversation on their mobile handsets through real time captions as well as hear the person. The app can be downloaded free of charge on certain Android phones along with the ‘everything data plan’.

 

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