Sprint Nextel and Nokia in WiMAX Pact

RESTON, Va.--(BUSINESS WIRE)--Sprint Nextel (NYSE:S) today announced that Nokia has been named a key infrastructure and consumer electronic device provider for its 4G WiMAX next generation mobility network. Nokia joins Intel, Samsung and Motorola in creating the advanced network infrastructure and access devices which will be designed to allow consumers, businesses and governments to experience high bandwidth mobile Internet connectivity at access speeds significantly higher than today’s wireless networks beginning late 2007.

“A company of Nokia’s global stature fortifies the foundation of Sprint’s mobility vision and will help make Sprint’s WiMAX multimedia services pervasive and indispensable for customers.”

Sprint Nextel last August announced the selection of WiMAX (IEEE802.16e-2005) technology for a next generation wireless network which would utilize the company’s extensive 2.5GHz spectrum assets, and formation of a unique business ecosystem designed to spur widespread adoption of WiMAX devices and services. This combination creates a time-to-market advantage for implementing the first large scale mobile WiMAX network expected to cover at least 100 million people by year-end 2008.

“Sprint Nextel is forming a world class ecosystem around mobile WiMAX technology to deliver unprecedented mobile broadband services to customers,” said Barry West, Sprint Nextel president, 4G Mobile Broadband. “A company of Nokia’s global stature fortifies the foundation of Sprint’s mobility vision and will help make Sprint’s WiMAX multimedia services pervasive and indispensable for customers.”

The strategic relationship with Nokia involves network infrastructure, mobile device and market development commitments. Under the agreement Nokia will:

• Be a major supplier to Sprint for WiMAX network infrastructure, including the market-leading Nokia Flexi WiMAX base transceiver stations which bring significant site and operating cost savings,
• Develop and market WiMAX-enabled mobile devices in significant volumes, including multimedia computers and Internet tablets,
• Jointly develop mobility services and applications to improve the customer experience, and
• Conduct co-marketing efforts to drive market development and support global adoption to help establish worldwide roaming.

”Nokia shares Sprint Nextel’s mobile broadband vision and is proud to join its industry-leading WiMAX ecosystem,” said Olli-Pekka Kallasvuo, President and CEO, Nokia Corp. “WiMAX is an ideal technology for open Internet models in all major global markets. With Sprint’s leadership, the next generation network will offer innovative mobile broadband services, connecting people with content and technology in new and exciting ways.”

Sprint Nextel is expecting to invest up to $800 million in 2007 and between $1.5 billion and $2 billion in 2008 relating to the 4G WiMAX mobile broadband network. Sprint Nextel’s goal is to have a broad range of mobile WiMAX-enabled chipsets and modules and an array of portable data, multimedia and consumer electronics devices available from multiple vendors which work seamlessly among Sprint’s network offerings. As a result, customers will experience an interactive mobile data network that is designed to offer faster speeds, lower cost, greater convenience and enhanced multimedia content.

About Sprint Nextel

Sprint Nextel offers a comprehensive range of wireless and wireline communications services bringing the freedom of mobility to consumers, businesses and government users. Sprint Nextel is widely recognized for developing, engineering and deploying innovative technologies, including two robust wireless networks serving more than 51 million customers at the end of third quarter 2006; industry-leading mobile data services; instant national and international walkie-talkie capabilities; and an award-winning and global Tier 1 Internet backbone. For more information, visit www.sprint.com.

About Nokia

Nokia is the world leader in mobile communications, driving the growth and sustainability of the broader mobility industry. Nokia connects people to each other and the information that matters to them with easy-to-use and innovative products like mobile phones, devices and solutions for imaging, games, media and businesses. Nokia provides equipment, solutions and services for network operators and corporations. For more information, visit www.nokia.com.

Safe Harbor

This news release includes "forward-looking statements" within the meaning of the securities laws. The statements in this news release regarding the plans for the development and deployment of a 4G network and the related infrastructure and portable data and consumer electronics devices, including the expected capital expenditures related to the development of the 4G network, expected capabilities and contributions of initiative participants and collaborating members, expected capabilities and performance of the 4G network and related devices, including speeds, cost, convenience and quality, the expected timing of service availability, planned coverage of the 4G network and related devices, the expected development of mobile WiMAX-enabled chipsets, the expected nature, features and number of portable multi-media and other consumer electronic devices, the expected adoption of mobile WiMAX by other carriers, and the planned strategic marketing and product alliance to be formed by Sprint and other consumer electronic companies. The words "will," "expect," "believe," "intend," and "target," and similar expressions are intended to identify forward-looking statements. Forward-looking statements are estimates and projections reflecting management's judgment based on currently available information and involve a number of risks and uncertainties that could cause actual results to differ materially from those suggested by the forward-looking statements. With respect to these forward-looking statements, management has made assumptions regarding, among other things, the availability and performance of related infrastructure, devices and its spectrum, as well as customer and network usage, customer growth and retention, pricing, development, deployment and operating costs, the timing of various events and the economic environment.

Sprint Nextel believes these forward-looking statements are reasonable; however, you should not place undue reliance on forward-looking statements, which are based on current expectations and speak only as of the date of this release. Sprint Nextel is not obligated to publicly release any revisions to forward-looking statements to reflect events after the date of this release. Sprint Nextel provides a detailed discussion of risk factors in periodic SEC filings, including its annual report on Form 10-K for 2005, as amended, and its quarterly reports on Form 10-Q for the first quarter of 2006. You are encouraged to review these filings.