Wednesday, August 3, 2011

Sprint Deal with LightSquared In Trouble? - SL Unable to FCC Authorization

Just recently, Sprint and LightSquared signed a 15-year agreement that will allow Sprint sell LTE services wholesale.

According to Wireless Week, The US GPS Industry Council does not believe that SL's plan to deploy its LTE service in the 1526-1536 Mhz band, from those used by GPS receivers will be enough to avoid interfering with GPS hardware and sevices.

Obviously, SL begged to differ.  In fact, it struck back by saying that poorly designed GPS receivers are at fault.  

This is going to be interesting to see.  With assurances, the FCC will not give the go for SL to deploy its LTE network.  While this might seem bad for SL, Sprint may have a second option.

Clearwire, today, announced plans to deploy its own LTE network over the WiMax network it currently operates.  Not only that, its planned 4G network could run at 120 Mbps.  I am cautious optimistic, obviously.  But I have to still say that I'll believe it when I see it.  

And I wonder where Clear is going to get the money for that. In its more recent quarter, Clearwire lost $169 million.  

And What of WiMax? I mentioned a couple of days ago that any plans by Sprint to go down the LTE path is going to take years to make it happen.  Right now, WiMax is Sprint's only option even if Clear stops its WiMax expansion.  And once the LTE option is available, Sprint and Clearwire will not just turn the lights off on WiMax users.

Source:  Wireless Week.

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