Thursday, March 06, 2008

More Trouble for Sprint

Telecomweb is reporting that Embarq made note in its FCC filing that it is experiencing a dilution via its MVNO arrangement.

""Our wireless service has been and continues to be dilutive to our results of operations," Embarq wrote, regarding its money-losing MVNO deal with Sprint. Just how much it is losing was not made clear, but Embarq doesn't plan to let the situation continue."

So what does Sprint do if both Embarq (its former wireline division) and Qwest both jump ship?? On the other hand, do you think that VZW will be any better a Partner for Qwest or Embarq? Ha! Ha! ROTFL.

Sprint now has to leverage its networks: iDEN, fiber optic, and internet backbone. It can't rely just on the MSO business. And with Clearwire's finances, who will build out WiMax / XOHM?

UPDATE: Gary Kim says Sprint may spin off Nextel.

No comments: