LightSquared needs to go public first so that private equity can get their money back. The stock will implode and then Sprint will pick up the pieces (and large amount of debt). Sprint will then be acquired by Comcast to legitimize its place as one of the three major telecom powerhouses in the US...all in the next five years after the AT&T/Tmobile deal is done.
reply to battleop That's an interesting scenario. Here's another, the cable companies buy Clearwire (majority share Comcast) while at the same time Comcast acquires control of Sprint. All of Clearwire / Sprint spectrum will then be controlled by the cable industry making them less dependent on either AT&T or Verizon Wireless.
Wireless is the only arena where Comcast (and other cablecos) are not competeing with AT&T and Verizon. Eventually Cable is going to want their cut just like AT&T and Verizon wanted their cut of video.
Comcast and the others did compete against T and VZ with wireless. Although they choose to use resold Sprint services and thus fast higher packages due to sprint having to get their cut. Nobody knew anything about the services; you couldn't move a current Sprint phone to Privit (the cable side) and if you could; you had to jump through hoops to find someone that knew what they were doing.
Sprint is a MAJOR provider of the Digital Phone side for the MSOs. They provide a great deal of the DIDs and the backend without much effort from the MSO. TWC's major partner is Sprint for this.