Editor’s Note: Wireless operators are a busy bunch, and as such RCR Wireless News will attempt to gather some of the important announcements that may slip through the cracks from the world’s largest carriers in a weekly wrap-up. Enjoy!
—NII Holdings is reportedly looking to sell its Nextel Peru operations to Entel Chile for $500 million. NII had noted earlier this year that it was looking at strategic options for its operations in Peru, Chile and Argentina, which analyst noted could save the struggling operator $200 million per year in earnings before interest, taxes, depreciation and amortization.
“We think the company sent a clear message in the press release by acknowledging that Peru, Chile and Argentina are non-strategic assets and that it would not be investing in these markets,” stated Kevin Smithen and Zach Horat, analysts with Macquarie Capital. “We believe that exiting from Peru and Chile could save NII Holdings $200 million in annual EBITDA.”
Wells Fargo Securities senior analyst Jennifer Fritzsche added that Nextel Peru currently controls a sizeable chunk of wireless spectrum, including 35 megahertz in the 1.9 GHz band, 22 megahertz in the 800 MHz band, 54 megahertz in the 2.5 GHz band and 50 megahertz in the 3.5 GHz band.
—TIM Brasil signed a deal with Nokia Siemens Networks to deploy an LTE network layer on top of the carrier’s existing 2G and 3G network operating in the 2.6 GHz band. The contract calls for NSN to provide an LTE radio access network based on its Flexi Multiradio base stations; upgrade the carrier’s NetAct network management system to enable consolidated monitoring, management and optimization of its network; and to provide its Intelligent Self Organizing Networks capabilities.
—Sprint Nextel announced it would begin offering HTC’s One smartphone beginning April 19, with pre-orders being accepted starting April 5. Sprint Nextel said it would offer the device for $200 with a two-year contract.
—Verizon Wireless announced it had closed on its previously announced acquisition of Mohave Wireless from Frontier Communications and Rio Virgin Telephone. Financial terms of the deal were not disclosed. Mohave operates a CDMA-based network covering approximately 203,000 potential customers in Northwest Arizona. Verizon Wireless noted that it planned to eventually rollout LTE services across the network.
Verizon Wireless did report that it has expanded LTE services in portions of New York, including Binghamton, the Capital Region and the Buffalo-Niagara area. Verizon Wireless also reported that it had deployed a distributed antenna system in San Francisco’s Westfield Mall.
—AT&T Mobility continued to expand its LTE coverage, announcing service in Watertown and Binghamton, N.Y.; Harrison, Fort Smith and Eureka Springs, Ark.; Hilton Head, S.C.; Princeton and Gloucester County, N.J.; Gary, Ind.; Hernando County, Lakeland, Fort Pierce and Palm Coast, Fla.; Las Cruces, N.M.; Carbondale, Ill.; Jefferson City, Mo.; Mount Vernon, Wash.; Montgomery, Ala.; Fresno, Calif.; Temple and Beaumont, Texas; and Houma, La.
–Rural wireless provider Ntelos announced a deal with long-time infrastructure provider Alcatel-Lucent to deploy LTE services across portions of its network by the end of the year. The network will work in concert with Ntelos’ current CDMA-based offering.
Ntelos announced last year that it planned to have 70% of its potential customer base covered with LTE services by the end of 2014. At that time it indicated that devices for the network would support Band Class 2, 4 and 25, hinting that the LTE service would tap into the traditional 1.9 GHz spectrum (Band Class 2) currently used to support its CDMA-based network as well as that of Sprint Nextel; Ntelos’ 1.7/2.1 GHz spectrum holdings (Band Class 4) and the G-Block 1.9 GHz spectrum (Band Class 25) that Sprint Nextel is using for its initial LTE rollout. Ntelos is currently using the approximately 23 megahertz of 1.9 GHz spectrum to support its CDMA services, with approximately 20 megahertz of 1.7/2.1 GHz spectrum that has yet to be deployed.
–Korea’s SK Telecom said it would begin offering LTE auto roaming services beginning April 1 with Philippine carrier Globe Telecom. The move builds on previously announced roaming deals with CSL in Hong Kong and SingTel in Singapore.
SK also noted that it plans to launch LTE devices supporting four frequency bands – 850 MHz, 1.8 GHz, 2.1 GHz and 2.6GHz – by mid-year. The carrier noted the devices would allow for greater roaming capabilities, including taping into the 2.6 GHz band that is becoming popular for LTE deployments in a number of international markets.
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