US service providers Sprint Nextel and Clearwire announced Friday they have completed their transaction to combine their WiMAX assets, a move previously tipped for completion today.”With the closing, Sprint contributed all of its 2.5GHz spectrum and its WiMAX-related assets, including its XOHM business, to Clearwire,” noted a company statement. The deal follows shareholder approval earlier this month, as well as recent acceptance from US regulator, FCC. In addition, the new venture announced confirmation of its US$3.2 billion cash investment from Comcast, Intel, Time Warner Cable, Google and Bright House Networks.
The transaction with Sprint and the cash investment were part of the original deal announced on May 7, 2008. The new company retains the name Clearwire and remains headquartered in Kirkland, Washington. In June, Clearwire forecast it will have 30 million subscribers and generate US$17.5 billion in WiMAX revenue by 2017, and projected an average monthly per-user revenue of US$60 to US$65. Clearwire will today hold a conference call to outline further plans; MBB will report on these developments in tomorrow’s edition.