EveryJoe » iPCS

Sprint Buys IPCS for $426M

Stephen Kersey — Tue, 20 Oct 2009 03:48:25 +0000

Sprint Nextel Corp has decided to purchase its affiliate iPCS Inc. for $426 million, a move that will mark the final acquisition of Sprint’s last major independent affiliate and the end to a legal battle between the two companies. Sprint’s 2005 acquisition of Nextel has led it to acquire many of its affiliates as the companies complained about the merger’s anticompetitive qualities.

Image: Flickr

The deal will mostly allow Sprint to simplify certain parts of its business, as it will no longer have to separate the assets it held in iPCS markets. According to analysts, Sprint will now be able to focus on its most important priority, which is to work on a turnaround in its post-paid business.

Sprint has been quickly losing its valuable contract subscribers as other cell phone companies continue to attract customers by acquiring valuable exclusive deals with makers of popular cell phones. While its pre-paid business has remained strong, Sprint has begun to focus its attention on its post-paid business, hoping to regain a large portion of the market share.

Post from: EveryJoe

Sprint Buys IPCS for $426M

Sprint Nextel to sell Parts of Cell Network

Mark Ellis — Sat, 13 Jun 2009 03:22:01 +0000

According to a statement released by Sprint Nextel Corp., the cellular giant plans to sell a significant portion of its cellular network in the Midwest as part of an Illinois court decision. As part of the deal, no customers will see any change in their service, and while Sprint’s financial situation will see a change, it looks to be minimal.

Nextel networks throughout Illinois, Iowa, Michigan, and Nebraska will eventually be sold by the company to any interested buyers. The sale came about as the result of a lawsuit from iPCS Inc., a Sprint affiliate, which claims that Sprint violated an exclusivity contract when it purchased Nextel in 2005.

Sprint’s partnership with Clearwire Corp. has also caused a lot of debate between Sprint and iPCS. The latter argues that Sprint’s decision to try and develop a high-speed wireless Internet service with Clearwire also violates the exclusivity agreement, but it had already worked out a deal with Clearwire when Sprint decided to merge with the company.

(Image: Flickr)

Post from: EveryJoe

Sprint Nextel to sell Parts of Cell Network