Why would Intc buy google's shares if it was not a good buy? This will rebound soon the way sears rebounded after selling millions of shares at the low price of $ 28. I can send the links if you need it.
"Intel has no plans to increase its holding in Clearwire, spokesman Chuck Mulloy said. Intel, which holds both Class A and Class B shares, has written down the value of its 65.6 million Class B shares to zero, he said. Intel doesn't disclose the value of its 28.4 million Class A shares, Mulloy said, but that it's not material to the chip company. The combined holdings give Intel a 7.3% voting stake in Clearwire."
Matt, I mention the TV however we shouldn't forget Google Wallet that Verizon snuffed out. I would not anticipate Google as a carrier, however I can see them having spectrum for apps delivery and functionality, where any carrier can be circumvented and Google cannot be handcuffed as with the Wallet.
I find it very difficult to believe the sale has no catalyst. Cleaning house sounds nice, but it costs nothing to retain the shares. The simplest reason is often correct and we know Clearwire is very likely to sell the excess spectrum. If google has any interest in having spectrum for its TV development, they will need to be divested to avoid insider knowledge problems. After all, the investment did get them access to the Clearwire spectrum for "testing purposes" as I believe it was phrased.
In the open market Google will be selling at market price, NOT at $1.60.
“The fellow stakeholders have first dibs on Clearwire and if they don't bite, Google said it plans to sell its shares openly. That price would appear to hold only if it sells to one of the other larger holders.”
Even if someone buys,sprint for instance, a purchase of this size at 1.60 will not increase the share price as I see it. The only big play would be for clwr itself to buy back the shares but the equity agreement does not offer such an offer to clwr directly...