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New consumer research calls Cingular top wireless performer: But high expectations for Sprint Nextel

A consumer survey conducted by independent research firm Adjoined Research singled out Cingular Wireless L.L.C. and Verizon Wireless as top-performing companies in the wireless sector, but noted that the pending merger between Sprint Corp. and Nextel Communications Inc. could capture the top spot among all types of communications providers.

The survey, which was included in the Adjoined report “Communication Demand 2005: How Americans Spend Their Communications Dollars,” ranked Cingular as the top-performing company among the five nationwide wireless operators. Verizon Wireless was ranked second, followed by Nextel, T-Mobile USA Inc. and Sprint PCS.

Adjoined noted that compared with other telecommunications services-wireline, wireless, cable/satellite, Internet and integrated-“the desires and expectations in the wireless industry” were higher than other telecommunication offerings, “which includes core attributes about brand and image.” Adjoined attributed the results to successful advertising having raised consumer expectations among wireless operators.

The survey also ranked Verizon Wireless and parent company Verizon Communications Inc. as the top-performing integrated telecommunications provider. Adjoined noted that more than 92 percent of those surveyed said they saw the benefits of on integrated provider for their communications needs, with nearly 45 percent touting the convenience of a single-bill, one-stop shopping and single phone number/voice mail.

Adjoined also analyzed the possible impact of a Sprint/Nextel merger on the communications industry, reporting that the combined entity posted the highest ratings across the 12 competitive attributes measured.

“Should the merged Sprint-Nextel be able to optimize the best of each company-a huge task-the only two attributes remaining at risk from a consumers’ perspective are price and geography-something that a merger should be able to improve through cost controls and expanded presence,” Adjoined explained.

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