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Home - Carrier Wrap: Sprint signs WiMAX death warrant: 2015
CarriersNetwork InfrastructureUncategorizedWi-Fi

Carrier Wrap: Sprint signs WiMAX death warrant: 2015

by Dan Meyer April 17, 2014
written by Dan Meyer April 17, 2014 Share
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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!

—Sprint announced in a recent Securities and Exchange Commission filing that it plans to shutter its WiMAX operations by the end of 2015, focusing its efforts on its legacy CDMA and burgeoning LTE networks.

“The WiMAX technology is in the process of being replaced by LTE, which is expected to be complete by the end of 2015,” the carrier noted in the filing.

Sprint’s WiMAX offering was initially launched in late 2008 under the Xohm brand, before being transitioned to Clearwire as part of Sprint’s investment in the mobile broadband provider. Clearwire took control of rolling out the service that was then re-sold to Sprint as part of a wholesale arrangement. That service was the backbone of Sprint’s initial “4G” marketing efforts that saw the company take a leadership positioning in offering next-generation wireless services to consumers. Clearwire managed to expand the WiMAX service to nearly 130 million potential customers before financial issues stopped its progress. Sprint regained control of its WiMAX offering last year following its acquisition of Clearwire.

As part of its WiMAX shut down, Sprint said it expects to de-commission approximately 6,000 “redundant sites” that could cost the carrier up to $100 million. Clearwire managed to deploy WiMAX across 17,000 total sites, with Sprint planning to keep around 10,000 Clearwire sites to support LTE services.

Sprint last year shut down its legacy iDEN network it gained through the acquisition of Nextel Communications.

Also noted in its SEC filing, Sprint said it plans to rollout VoLTE services, though it did not put a timeframe on those plans. The carrier has recently stated that VoLTE is not yet ready for commercial deployments, and has instead focused its efforts on HD Voice technology and a push into voice over Wi-Fi.

—AT&T continued its push into non-traditional wireless services this week announcing a deal to power telematics services for Volvo and Wi-Fi services for Burger King.

The deal with Volvo is a multi-year agreement covering both the United States and Canada, providing Volvo’s 2015 model year vehicles with its Sensus Connect “infotainment” offering and powering Volvo On Call. The service will tap into AT&T’s relationship with Jasper Wireless, which supports the carrier’s Control Center service.

AT&T earlier this year announced a telematics agreement with Audi, and last year stole away General Motor’s OnStar contract from Verizon Wireless, signing a multi-year agreement to provide an “enhanced suite of safety, security, diagnostic and infotainment services.”

As for the Burger King deal, AT&T said it will offer its Wi-Fi service at all of the restaurant’s U.S. locations. The aptly named “Whopper Wi-Fi” will use AT&T’s “plug-and-play Wi-Fi Ready Zone” platform, replacing current Burger King Wi-Fi services.

AT&T has aggressively targeted public Wi-Fi services to offload wireless data traffic, and claims to currently have more than 32,000 hotspot locations. AT&T also powers Wi-Fi services at Starbucks and McDonald’s locations.

–AT&T’s no-contract brand Aio Wireless unveiled discounts for multi-line accounts that could total up to $90 per month. The discount begins on the second line of service, which receives a $10 per month discount; the third line receives a $20 per month discount; and the fourth and fifth lines receive $30 per month discounts.

The brand noted that customers with more than one line of its Basic, Smart or Pro rate plans on an account will automatically be enrolled in the discount package. Also, Aio Wireless’ auto pay credit does not apply to lines also receiving the Group Save discount.

Aio Wireless, which is in the process of being merged into AT&T’s recently acquired Leap Wireless Cricket brand, earlier this year modified its offerings to included lower prices and increased data buckets and followed up on previous comments made by AT&T’s management regarding being more “aggressive” and “assertive” in the no-contract space.

Additional carrier news can be found on the RCR Wireless News “Carriers” page.

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