Thursday, May 8, 2008

Resignation Confidentiality

Convergence, Intel and Google support Sprint in its battle with AT & T and Verizon

Sprint Nextel and Clearwire said yesterday its intention to integrate their wireless broadband infrastructure to create a national network in the U.S. that to compete with AT & T and Verizon, neither more nor less than a new step towards the convergence of Internet, telecommunications and entertainment without affecting the primacy of the PC in work, education, etc. ..

The new company, dubbed Clearwire and valued at 14,550 million dollars has been supported by strategic partners some of the leading technology groups in the country.

Clearwire will get a shot of 3,200 million dollars from Google, Intel, Bright House Networks, Trilogy Equity Partners and cable operators Comcast and Time Warner Cable, which will 22% of the new company, Sprint Nextel will be 51% while the remaining 27% will be controlled by Clearwire, the largest Wimax wireless technology, which counts among its key shareholders to own Intel (through its venture capital subsidiary) and Motorola mobile phone magnate, Craig McCaw.

The new Clearwire, with 400,000 users of Wimax, plans to create a national network para120 or 140 million people in 2010. However, some experts believe that the contributions of Google, Intel and cable companies might not be enough and put the construction cost of this infrastructure in more than 8,000 million.

The scheme will face serious challenges. Given the peculiarities of the wireless spectrum used to carry data, it may not be easy for the consortium to generate reliable services, adequate and comprehensive. The partners involved are leading and that can work against the interests of the group itself. Each member has different objectives and that can create conflicts.

Sprint Nextel, which has been fighting for years with Verizon and AT & T, seeking to capitalize on its control of the spectrum. Cable companies want to create additional services for broadband outside the home. Intel microprocessors attempts to sell and promote the use of the PC. Google is developing another advertising platform, current obsession, and also their participation would be aimed at finding new avenues for expansion of Android, its software platform for mobile phones, which will see the light in the coming months.

business people expected, moreover, that management take the Clearwire wireless consortium. It should be noted that the project's announcement comes as the business grows. Hence, for example, wireless data (especially texting) constitute 23% of the income of giant Verizon Wireless in the first quarter, against 17.5% a year earlier,

In any case, the commitment of new members seems clear.

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