Sprint, Partners to Pump $1.5 Billion Into Clearwire2009-11-09 09:14 by Daniela
Tags: WiMAX, Sprint, Comcast, Time Warner, Clearwire
Sprint Nextel Corp. and its partners are preparing to pump at least $1.5 billion more into Clearwire Corp., said two people familiar with the matter, adding yet more aid to a wireless broadband firm that has struggled to build out its next-generation network.
Sprint would invest $1 billion and its Clearwire joint venture partners, a group which includes Comcast Corp., Intel Corp, Time Warner Cable Inc. and Bright House Networks LLC, would kick in another $500 million, said these people. Google Inc., which has been a key joint venture partner, isn't involved in the latest financing round, these people added. An announcement of the new investment could come as soon as this week.
Spokespeople from Sprint, Clearwire, Comcast Time Warner Cable and Intel declined to comment. Officials from Bright House and Google weren't immediately available for comment.
Sprint is Clearwire's majority shareholder and unlike its rivals, which have bet on a rival technology, Sprint's plans for a higher-speed data transmissions are heavily tied to Clearwire's success.
The infusion comes about 18 months after Sprint, Intel, Comcast and other partners first put $3.2 billion into Clearwire, which is building the first so-called "4G" mobile broadband network, which moves data at very high speeds. That deal gave Sprint and the others a big ownership stake in Kirkland, Wash.-based Clearwire, which lost $241.4 million in the quarter ended June 30. It will report its latest quarterly results on Tuesday.
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