KIRKLAND, Wash. & OVERLAND PARK, Kan.--(BUSINESS WIRE)--Clearwire Corporation (NASDAQ: CLWR) and Sprint (NYSE: S) today announced plans to launch their respective 4G mobile internet services in Los Angeles later this year. Both companies will offer 4G services under their own 4G brand.
Clearwire and Sprint will both launch commercial 4G service in Los Angeles on December 1 with official launch events and retail store openings to follow. Consumers and businesses should expect to see additional network expansions in Los Angeles, and a wide range of independent marketing and advertising initiatives.
The 4G customer experience from Clearwire and Sprint is similar to Wi-Fi but without the short-range limitations. The network uses wireless 4G technology that differs from Wi-Fi because it provides service areas measured in miles, not feet. Outside the 4G service area, dual-mode 4G/3G modems keep users continually connected by leveraging Sprint’s 3G data network.
Customers in Los Angeles will now be able to increase their mobility and productivity in many ways: from instantly downloading large files to get work done on the run, to browsing the web just like at home from across the city, or watching online videos and movies nearly anywhere around town.
Subscribers will also be able to purchase a wide range of 4G devices, including: compact USB modems, numerous Intel® embedded WiMAX laptops and netbooks, portable Wi-Fi/4G hotspots, and other wireless devices, all aimed at making lives in 4G cities more mobile and efficient.
Clearwire’s 4G service, CLEAR®, is take-it-with-you internet service for businesses and consumers. Customers will be able to purchase service online at www.clear.com, followed by retail store and dealer openings. Today, in advance of Clearwire’s commercial 4G launch in Los Angeles, dual-mode 3G/4G service is now available to consumers in select areas. This targeted pre-launch promotion provides early adopters with broad 3G coverage and limited 4G coverage while final work on Clearwire’s 4G network is completed. 4G-only mobile services are not yet being offered as part of this pre-launch promotion. For more information about pricing, services, devices, and local retail locations, visit www.clear.com.
Sprint’s 4G service is branded Sprint 4G. Sprint 3G/4G dual mode products available today combine Sprint 3G – a dependable nationwide 3G network – with Sprint 4G, for turbo-charged wireless connectivity in 4G coverage areas. With Sprint 4G, streaming video, fast file downloads and uploads and turbo-charged web browsing are no longer just home, office or coffee shop benefits. Sprint 4G plans are available at Sprint retail stores, Best Buy stores and local retailers in 4G service areas and Sprint telesales at 1-800-Sprint-1 or online at www.sprint.com/4G.
Clearwire’s 4G Network in 2010
Clearwire’s 4G network is currently available in 56 markets across the United States, including: Merced, Visalia, Modesto and Stockton, Calif.; Wilmington, Del.; Orlando, Daytona Beach and Jacksonville, Fla.; Atlanta and Milledgeville, Ga.; Honolulu and Maui, Hawaii; Boise, Idaho; Chicago, Ill.; Boston, Mass.; Minneapolis/St. Paul, Minn.; St. Louis and Kansas City, Mo.; Charlotte, Raleigh and Greensboro, N.C.; Las Vegas, Nev.; Baltimore, Md.; Grand Rapids, Mich.; Syracuse and Rochester, N.Y.; Salem, Portland and Eugene, Ore.; Pittsburgh, Philadelphia, Harrisburg, Reading, Lancaster and York, Pa.; Providence, R.I.; Nashville, Tenn.; Dallas/Ft. Worth, Houston, San Antonio, Austin, Abilene, Amarillo, Corpus Christi, Killeen/Temple, Lubbock, Midland/Odessa, Waco and Wichita Falls, Texas; Salt Lake City, Utah; Richmond, Va.; Seattle, Tri-Cities, Yakima and Bellingham, Wash.; and central Washington, D.C.
By the end of 2010, the 4G network is also expected to be available in other major metropolitan areas such as Denver, Miami, Cincinnati and Cleveland.
In separate announcements today, Clearwire and Sprint also announced the coming launch of service in the San Francisco Bay area and New York.
Clearwire Corporation (NASDAQ: CLWR), through its operating subsidiaries, is a leading provider of wireless broadband services. Clearwire’s 4G network is currently available in areas of the U.S. where approximately 66 million people live and the company plans to continue to expand its 4G coverage. Clearwire’s open all-IP network, combined with significant spectrum holdings, provides an unprecedented combination of speed and mobility to deliver next generation broadband access. The company markets its 4G service through its own brand called CLEAR® as well as through its wholesale relationships with Sprint, Comcast and Time Warner Cable. Strategic investors include Intel Capital, Comcast, Sprint, Google, Time Warner Cable, and Bright House Networks. Clearwire is headquartered in Kirkland, Wash. Additional information is available at www.clearwire.com.
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 served more than 48.1 million customers at the end of the second quarter of 2010 and is widely recognized for developing, engineering and deploying innovative technologies, including the first wireless 4G service from a national carrier in the United States; offering industry-leading mobile data services, leading prepaid brands including Virgin Mobile USA, Boost Mobile, Common Cents Mobile and Assurance Wireless; instant national and international push-to-talk capabilities; and a global Tier 1 Internet backbone. With its customer-focused strategy, you can learn more and visit Sprint at www.sprint.com or www.facebook.com/sprint and www.twitter.com/sprint.
Unlimited plans subject to CLEAR’s Acceptable Use Policy, posted at www.clear.com/legal/aup.
Clearwire, CLEAR, and the CLEAR logo are trademarks or registered trademarks of Clearwire Communications LLC in the United States and/or other countries. All other company or product names are trademarks of their respective owners.
This release, and other written and oral statements made by Clearwire from time to time, contains forward-looking statements which are based on management's current expectations and beliefs, as well as on a number of assumptions concerning future events made with information that is currently available. Forward-looking statements may include, without limitation, management's expectations regarding future financial and operating performance and financial condition; proposed transactions; network development and market launch plans; strategic plans and objectives; industry conditions; the strength of the balance sheet; and liquidity and financing needs. The words "will," "would," "may," "should," "estimate," "project," "forecast," "intend," "expect," "believe," "target," "designed," "plan" and similar expressions are intended to identify forward-looking statements. Readers are cautioned not to put undue reliance on such forward-looking statements, which are not a guarantee of performance and are subject to a number of uncertainties and other factors, many of which are outside of Clearwire's control, which could cause actual results to differ materially and adversely from such statements. Some factors that could cause actual results to differ are:
- We are an early-stage company with a history of operating losses and we expect to continue to realize significant net losses for the foreseeable future.
- Our current and future plans are subject to a number of conditions and uncertainties, including among others, our ability to manage ongoing market development activities (including the development of over 10,000 sites), our performance in launched markets and our access to additional funding.
- We regularly evaluate our plans, and we may elect to pursue new or alternative strategies which we believe would be beneficial to our business, including among other things, modifying the pace at which we build our 4G mobile broadband networks, augmenting our network coverage in markets we launch, changing our sales and marketing strategy and/or acquiring additional spectrum. Such modifications to our plans could significantly change our capital requirements.
- We believe that we require substantial additional financing to maintain our current business plans, and if we are unable to raise such financing on acceptable terms we will need to modify our plans accordingly.
- We may fail to realize all of the anticipated benefits of the transactions with Sprint and the strategic investors.
- We have deployed a wireless broadband network based on mobile WiMAX technology, and would incur significant costs to deploy alternative technologies. Additionally, such alternative technologies may not perform as we expect on our network and deploying such technologies would result in additional risks to the company.
- We currently depend on our commercial partners to develop and deliver the equipment for our legacy and mobile WiMAX networks.
- Many of our competitors are better established and have significantly greater resources, and may subsidize their competitive offerings with other products and services.
- Our substantial indebtedness and restrictive debt covenants could limit our financing options and liquidity position and may limit our ability to grow our business.
- Sprint Nextel Corporation owns a majority of our shares, resulting in Sprint holding a majority voting interest in the Company, and Sprint may have, or may develop in the future, interests that may diverge from other stockholders.
- Future sales of large blocks of our common stock may adversely impact our stock price.
For a more detailed description of the factors that could cause such a difference, please refer to Clearwire's filings with the Securities and Exchange Commission, including the information under the heading "Risk Factors" in our Annual Report on Form 10-K filed on February 24, 2010 and our Quarterly Report on Form 10-Q filed on August 5, 2010. Clearwire assumes no obligation to update or supplement such forward-looking statements.