Editor’s Note: The RCR Wireless News Time Machine is a way to take advantage of our extensive history in covering the wireless space to fire up the DeLorean and take a trip back in time to re-visit some of the more interesting headlines from this week in history. Enjoy the ride!
House of Mouse to offer cell service
The big mouse is finally loose in the wireless house as the Walt Disney Co. announced plans to launch a family-oriented mobile virtual network operator wireless service using Sprint Corp.’s nationwide network. The decision has been expected for some time and follows a similar announcement made last year by its ESPN division to launch a sport-oriented MVNO. The Walt Disney Internet Group, which will oversee the newly formed Disney Mobile service, said it plans to offer wireless voice services, exclusive handsets and a package of features, applications and entertainment content targeting families when it launches service next year. WDIG also said it plans to tap into Sprint’s CDMA2000 1x EV-DO high-speed wireless data capabilities, which the carrier began rolling out last week. … Read More
FCC closer to OK’ing Sprint Nextel hookup
The Federal Communications Commission appears close to approving the proposed $35 billion merger between Sprint Corp. and Nextel Communications Inc., though it remains unclear whether the agency will impose any conditions on the deal as consumer groups and community technology centers have advocated. The Wireless Telecommunications Bureau last week sent a staff recommendation to FCC Chairman Kevin Martin in favor of the Sprint-Nextel combo, according to a source close to the matter. Reuters, citing an anonymous source, reported that Martin is circulating the staff proposal to the other three commissioners. Fred Cambell, identified as Martin’s wireless adviser, did not return a call for comment. … Read More
Nextel questions value of Nextel Partners
Nextel Communications Inc. questioned the value of its affiliate Nextel Partners Inc. in relation to a put option Nextel Partners can trigger following Nextel’s pending acquisition by Sprint Corp., which garnered shareholder approval yesterday. In a Securities and Exchange Commission filing, Nextel stated that Nextel Partners’ put option, which would require Nextel to acquire the remaining 68 percent of its affiliate that it does not currently own for “fair market value” plus a put premium, should not be tied directly to Nextel Partners current market price, which has increased more than 40 percent since the deal was announced late last year. … Read More
XM Satellite spends $200M on 2.3 GHz licenses
XM Satellite Radio will spend nearly $200 million on wireless spectrum licenses in 15 of the top 20 U.S. markets, the company announced after Wednesday’s closing bell. The nation’s No. 1 satellite radio service agreed to acquire WCS Wireless L.L.C., which controls 10 megahertz of spectrum in the 2.3 GHz range, adjacent to XM’s existing spectrum position. XM will finance the deal with 5.5 million shares of common stock. … Read More
Sprint sued by another affiliate, shareholders approve deal
Sprint Corp.’s pending acquisition of Nextel Communications Inc. received mixed news Wednesday as a Sprint wireless affiliate filed a lawsuit attempting to prevent Sprint from competing against the affiliate in its markets following the planned acquisition. On the positive side, the deal gained support from both Sprint and Nextel shareholders. Sprint affiliate Ubiquitel Inc. claimed that Sprint’s pending acquisition of Nextel will violate its affiliate agreement as the combined operations plan to use Nextel’s existing infrastructure, licenses and network to augment Sprint’s network in the area. … Read More
Cingular readies LG phone with MP3 player
Cingular Wireless L.L.C. appears to be prepping a new phone from LG Electronics Co. Ltd. that features an MP3 player, according to documents filed with the Federal Communications Commission. The move is notable as music phones and music services have become a hot topic in the wireless industry. A Cingular spokesman declined to comment on the FCC filing, which details LG’s clamshell-style CE500. The phone apparently features an MP3 player, digital camera and support for EDGE networks, as well as several dedicated music buttons. The documents include numerous references to Cingular. … Read More
Another group raises concerns about Sprint’s 2.5 GHz spectrum
A group whose members lease excess 2.5 GHz educational TV spectrum capacity to major wireless carriers asked the Federal Communications Commission to condition the proposed $35 billion merger between Sprint Corp. and Nextel Communications Inc. to prevent the newly formed company from effectively converting leases into permanent rights to the frequencies. The ITFS/2.5 GHz Mobile Wireless Engineering & Development Alliance Inc. previously raised the lease issue in an FCC proceeding realigning the 2.5 GHz band to foster wireless broadband while protecting educational video services. The Boulder, Colo.-based non-profit represents some educational entities that hold 2.5 GHz spectrum licenses and provides assistance to the licensees with converting their operations to digital two-way mobile operations. … Read More
Sprint focuses on overage protection by killing Free & Clear plans
Citing increasing demand for its overage-protecting Fair & Flexible rate plan offerings, Sprint Corp. said it will no longer offer its traditional Free & Clear rate plans to new customers. Sprint added that the decision also was made in an attempt to cut down on pricing confusion. In addition to the lower overage charges, Thomas added that Sprint has found that F&F customers have shown higher levels of customer satisfaction than F&C customers. Analysts have noted this is likely due to the lower overage charges compared with traditional rate plans. … Read More
Insurance group finds cell phones increase auto accident injury risk fourfold
A newly published study concludes the risk of injury from a vehicular accident is four times higher when the driver is using a hand-held cell phone, regardless of whether hands-free devices are used as cities and states are gradually requiring. The study, conducted by the Insurance Institute for Highway Safety and published in the British Medical Journal, said the increased risk was estimated by comparing phone use within 10 minutes before an actual crash occurred with use by the same driver during the prior week. Subjects were drivers treated in hospital emergency rooms for injuries suffered in crashes from April 2002 to July 2004. … Read More
Sprint brings DO to 25 markets
Sprint Corp.’s months-long high-speed wireless data tease came to an end last week as the company finally announced the launch of its CDMA2000 1x EV-DO network. The company said the service would be available in business districts and airport locations in 34 markets by the end of the month. The initial launches will include 25 of the nation’s top 50 markets with plans to cover 45 of the top 50 markets by early next year. Sprint said the EV-DO network would cover approximately 92 million potential customers in what it termed “14 broadly deployed metropolitan areas” in the third quarter, with another 36 metro areas launched during the fourth quarter and 143 million pops covered by the end of the year. Sprint added that it was still on track to cover at least 200 urban and suburban markets and about 60 metro areas by early 2006. … Read More
