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Sprint Kicks LightSquared to the Curb

Mar 15, 2012, 6:37 PM by Eric M. Zeman
updated Mar 15, 2012, 8:12 PM

Sprint is going to cancel its 15-year LTE 4G wireless network contract with LightSquared, according to the Wall Street Journal. Citing people familiar with Sprint's plans, the nation's third-largest network operator will walk away from the deal on Friday and return approximately $65 million in payments it had received from LightSquared. Sprint partnered with LightSquared last year in hopes of sharing the costs to deploy LTE 4G mobile broadband networks. Sprint's contract with LightSquared was contingent upon LightSquared gaining FCC approval to operate its network in the L-band satellite spectrum. The FCC revoked LightSquared's provisional waiver and decided that the GPS-related interference risks are too great. Sprint will now forge ahead with long-time 4G partner Clearwire in creating its LTE network.

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MarryTheNight

Mar 15, 2012, 7:14 PM

"Sprint will now forage ahead with long-time 4G partner WiMax in creating its LTE network"

Confused. Why did they need LS to begin with though? Cause they were gonna be ready with LTE first?

Tofuchong

I think the article has poor wording, I didn't know that sprint had a partner that was named "WiMax". Isn't wimax the name of a high-speed wireless data technology ?

...

Phineas

Two reasons: Spectrum and money. They would have a spectrum hosting deal with LS to give them cash and have additional LTE spectrum. LS did it so they wouldn't have to build out a nationwide network and save them billions.

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