AT&T is more desperate for spectrum than Verizon. AT&T will have a bid in this also.
A bid for all of Clearwire that is north of $11B will break up both the Softbank and also the DISH bids for Sprint. Think how Tmobile sold all their towers for cash and then leased them back. Sprint is in a good position to do this. All Sprint needs is a Clearwire wholesale agreement in place. Sprint already has a headstart with Clearwire access on all their towers. Sprint won't mind selling Clearwire as long as they can still access it for a fair price.
$2.97 is a common marketing ploy... you take a few cents off the whole number to make the price more appealing. Softbank and Sprint have been advertising Clearwire with a big "For Sale" sign.
Remember, Softbank wins if they lose Sprint...their $3.1B convertible bond is worth 15% stake of Sprint and they also have a $600M break-up fee. Softbank just wants band 41 to be the global standard because that will help their cause in Japan.
Guess what? Next week is the first ever global TD LTE summit in Singapore, April 23-24th. Expect news.
You think the DOJ would allow this? Maybe if they divest themselves of spectrum but even then, the FCC and DOJ have issues with ATT and VZ being dominant players. They are even gunning them down for participating in auction for additional spectrum. I still believe the FCC needs to rule on the applicability of Spectrum cap on clwr frequency. This will set the stage as to what can be bought and by who. If ATT and VZ are discriminated because of their size and market share, they could create some noise because in essence, even though they are doing a great job in serving the public, the govt would be controlling how much more they can serve the public. John Doe out there has options to sign up with whomever, but it appears that VZ is doing a fabulous job in effectively deploying their spectrum and demand for their service is soaring. Why not reward those who are doing a good job versus rewarding those who are still trying to prove themselves? I believe in leveling the playing field but not to the point where you start to exclude successful players with customers who have options out of their future business potential. You would be placing caps on their ability to grow and possibly demotivate investors in these large companies. They would become like the MSFT and Intels of the world where they stay flat for years.
dan hesse worked for AT&T and then when he joined Sprint, he turned against his former company and led the charge against AT&T's merger with T-Mobile. That failed attempt cost AT&T over 4 BILLION $$ in fee's that they were obligated to pay T-Mobile...I wonder if AT&T still remembers that?
He spent 23 years at AT&T where he started out as an intern.
From 1991–1995 he was President and CEO of AT&T Network Systems International based in the Netherlands.
He launched the online division's AT&T Worldnet service in February 1996 which introduced unlimited internet dial up for $20/month as long as you subscribed to AT&T's long distance services.