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Forums » Are Sprint's WiMax Plans In Trouble? » If they stop now they are done.
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Sprint needs to get on GSM family bandwagon »
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hitman_001
Premium
join:2006-11-20
Laredo, TX

If they stop now they are done.

quote:
They should stop the WiMax rollout immediately," said Patrick Comack, an equities analyst with Zachary Research. "They need to get back to the basics and learn how to run a wireless company. This means focusing more on the present rather than the future."
I'm sorry but thats about the most retarded thing i've ever heard. People scream and moan about incumbant providers and how things should change to better serve the customer. Sprint was heading down that path with Wimax, no contracts, no subsidies, Wimax would service thousands of items in our everyday lives. Its the one thing that would boost sprint above and beyond any wireless provider today, with the restrictions and limits and 2 year contracts they shove down your throats with early termination fee's, the list could go on. If anything all these companies should FORGET how to run a wireless company, and start over fresh, doing it right this time. Sprint isnt perfect, and Gary Forsee certainly wasnt. But if there was one thing Sprint had going for them, it was Wimax.
--
Hn7000s Small Office plan/.74m dish & 1Watt Trans on Satmex 5 Signal: 86/Win XP Pro SP2/P4 3gig, 2Gigs Ram, Radeon X1300 500meg video


BillRoland
Premium
join:2001-01-21
Ocala, FL
clubs:
·Cox HSI

You're not looking at reality though. They are going to lose another 300,000 contract subscribers, this quarter alone. You can't possibly build out a successful WiMAX network if you don't even know how to run what you've got. The problem is that Sprint is now hemorrhaging subscribers and money at alarming rates. If this keeps up, there will be nothing left to spend on WiMAX anyway. I don't think anyone is arguing that WiMAX is a bad idea, but you've got to have your own house in order before you go out and attempt something like this, and Sprint doesn't even know where its house is, much less how to put it in order.

And sorry, but comparing Sprint investors on the WiMAX situation to Verizon's investors on the FiOS project is like comparing apples to beef. The Sprint investors have legitimate concerns.
--
"Don't steal. The government hates competition."

Fred Thompson For President 2008 »www.fred08.com


wifi4milez
Big Russ, 1918 to 2008. Rest in Peace

join:2004-08-07
New York, NY
·Verizon FIOS
·Sprint Mobile Broa..
·RoadRunner Cable
·BroadVoice

reply to hitman_001
said by hitman_001 See Profile :

quote:
They should stop the WiMax rollout immediately," said Patrick Comack, an equities analyst with Zachary Research. "They need to get back to the basics and learn how to run a wireless company. This means focusing more on the present rather than the future."
I'm sorry but thats about the most retarded thing i've ever heard. People scream and moan about incumbant providers and how things should change to better serve the customer. Sprint was heading down that path with Wimax, no contracts, no subsidies, Wimax would service thousands of items in our everyday lives. Its the one thing that would boost sprint above and beyond any wireless provider today, with the restrictions and limits and 2 year contracts they shove down your throats with early termination fee's, the list could go on. If anything all these companies should FORGET how to run a wireless company, and start over fresh, doing it right this time. Sprint isnt perfect, and Gary Forsee certainly wasnt. But if there was one thing Sprint had going for them, it was Wimax.
The thing people dont understand is that Wimax doesnt need to be limited to a "wireless" offering. Wimax can take the place of standard "wired" offerings like DSL and cable if implemented correctly. Sprint has the opportunity to reach vast numbers of customers (both business and residential) without spending a single penny digging up roads and building conduit. For residential users who dont need super strong SLA's, this is a no brainer for Sprint.
--
я люблю Денди!


en102
Canadian, eh?

join:2001-01-26
Valencia, CA
·RoadRunner Cable
·DSL EXTREME

reply to BillRoland
said by BillRoland See Profile :

You're not looking at reality though. They are going to lose another 300,000 contract subscribers, this quarter alone. You can't possibly build out a successful WiMAX network if you don't even know how to run what you've got. The problem is that Sprint is now hemorrhaging subscribers and money at alarming rates. If this keeps up, there will be nothing left to spend on WiMAX anyway. I don't think anyone is arguing that WiMAX is a bad idea, but you've got to have your own house in order before you go out and attempt something like this, and Sprint doesn't even know where its house is, much less how to put it in order.

And sorry, but comparing Sprint investors on the WiMAX situation to Verizon's investors on the FiOS project is like comparing apples to beef. The Sprint investors have legitimate concerns.
I tend to agree... WiMAX may be a good offering, but if Sprint can't keep its CURRENT business floating (dumping Gary was to appease investors, I assume), then it may find itself in a tight financial crunch attempting to deploy WiMAX.
--
Canada = Hollywood North

myokitis

join:2004-06-19
Alexandria, VA

reply to wifi4milez
I think you're partially correct but I disagree w/ your conclusion . . . Keep in-mind that while FTTH is indeed expensive, it is an established technology. WiMax is still an unproven pie-in-the-sky technology that's never been deployed on a large scale. Given the high amount of financial risk (i.e. uncertainty)invloved, investors have a legitimate concern of a large investment (bet?) in an unproven technology by a company in Sprint's condition.

If they bet the farm on this and run into some sort of unforseen operational difficulties, Sprint will be finished, quickly. If they stabilize their core operations, however, then they can afford to bear more risk.


hitman_001
Premium
join:2006-11-20
Laredo, TX

reply to BillRoland
I believe im looking at reality correctly.. And i certainly dont disagree with putting the house in order, Sprint has to get themselves and nextel together and dear lord... Fix that awfull customer service, Finish deploying evdo, and quit leaving jobs half ass done before they start on Wimax. But completely shutting it down? lol.. I dont think thats the right thing to do at all.
--
Hn7000s Small Office plan/.74m dish & 1Watt Trans on Satmex 5 Signal: 86/Win XP Pro SP2/P4 3gig, 2Gigs Ram, Radeon X1300 500meg video


en102
Canadian, eh?

join:2001-01-26
Valencia, CA
·RoadRunner Cable
·DSL EXTREME

With the amount of investment in spectrum (100MHz of 2.5GHz is HUGE!), they'll have to perform, or some other company will purchase them while their stock is hurting, or Sprint will be forced (by nervous investors) to spin off Xohm.
--
Canada = Hollywood North


wifi4milez
Big Russ, 1918 to 2008. Rest in Peace

join:2004-08-07
New York, NY
·Verizon FIOS
·Sprint Mobile Broa..
·RoadRunner Cable
·BroadVoice

reply to myokitis
said by myokitis See Profile :

I think you're partially correct but I disagree w/ your conclusion . . . Keep in-mind that while FTTH is indeed expensive, it is an established technology. WiMax is still an unproven pie-in-the-sky technology that's never been deployed on a large scale. Given the high amount of financial risk (i.e. uncertainty)invloved, investors have a legitimate concern of a large investment (bet?) in an unproven technology by a company in Sprint's condition.

If they bet the farm on this and run into some sort of unforseen operational difficulties, Sprint will be finished, quickly. If they stabilize their core operations, however, then they can afford to bear more risk.
Well, yes and no. FTTH has only become an "established" technology here in the US in the past 2 or 3 years. In the grand scheme of telecom that doesnt mean much! While you are correct the Wimax is largely unproven on a scale of this size, there are a few things to consider. First, Wimax has been in development and testing for years. Secondly, it has been rolled out on a fairly large scale in other countries and even here in the US on a smaller scale (Clearwire has been offering it for a few years themselves). The other thing to consider is that a good percentage of the business Sprint will gain with this is consumer, meaning that "best effort" is just that. Overall, $5B is not that much money for a large company like Sprint, especially considering Clearwire will be footing part of the bill. In all honesty, the nationwide rollout (if it ever happens) will happen in a tiered way, thus giving Sprint time to "iron out the wrinkles".
--
я люблю Денди!


calvoiper

join:2003-03-31
Belvedere Tiburon, CA

reply to hitman_001
said by hitman_001 See Profile :

... And i certainly dont disagree with putting the house in order, Sprint has to get themselves and nextel together and dear lord...
Amen to that. The WSJ reported that a MAJOR part of Forsee's exit package negotiations involved his fervent wish that Sprint HQ revert to Kansas--for a company he's LEAVING!

As a veteran of several telecom mergers, I have to say that such a parochial HQ location attitude smacks of divisiveness and a fostering of the "us against them" mentality which can easily sink a merger. Why in the WORLD would he care after he's gone?

calvoiper
--
VoIP--the death knell of remaining voice monopolies!


calvoiper

join:2003-03-31
Belvedere Tiburon, CA

reply to wifi4milez
Yes, but remember that wireless frequencies are shared among all users, while fiber routes are not. Wireless channels are much more limited than fiber, and the company that wastes them on fixed applications will find itself competing with fiber--but the company that stresses wireless applications will have greater demand in the mobile market.

calvoiper
--
VoIP--the death knell of remaining voice monopolies!

myokitis

join:2004-06-19
Alexandria, VA
reply to wifi4milez
All good points . . . thanks for clarifying.


wifi4milez
Big Russ, 1918 to 2008. Rest in Peace

join:2004-08-07
New York, NY
·Verizon FIOS
·Sprint Mobile Broa..
·RoadRunner Cable
·BroadVoice

reply to calvoiper
said by calvoiper See Profile :

Yes, but remember that wireless frequencies are shared among all users, while fiber routes are not. Wireless channels are much more limited than fiber, and the company that wastes them on fixed applications will find itself competing with fiber--but the company that stresses wireless applications will have greater demand in the mobile market.

calvoiper
While that is true, this service is initially being offered as a wired service (DSL, cable) replacement. Sprint is leaning towards using this network as their 4G solution, however from the start it will be geared towards home based users. Laptop cards will probably be the first wireless devices released for Xohm (likely concurrent with launch), followed by cellphones within 24 months.
--
я люблю Денди!


wifi4milez
Big Russ, 1918 to 2008. Rest in Peace

join:2004-08-07
New York, NY
·Verizon FIOS
·Sprint Mobile Broa..
·RoadRunner Cable
·BroadVoice

reply to myokitis
said by myokitis See Profile :

All good points . . . thanks for clarifying.
Absolutely! You raise good points as well, and these forums are great for debating topics such as these.
--
я люблю Денди!


tc1uscg

join:2005-03-09
Saint Clair Shores, MI

reply to hitman_001
They should stop the WiMax rollout immediately," said Patrick Comack, an equities analyst with Zachary Research. "They need to get back to the basics and learn how to run a wireless company. This means focusing more on the present rather than the future."
Yes.. this is a wreckless statement. Lets kill off another form of innovative telecommunications before it gets a chance. While the investors and these brain dead analyst, who get paid to make people paranoid, try to make WiMAX seem like a waist of time should have jumped on the same bandwagon for the rollout of the iPhone. If every company listened to these idiots everytime they tried to spend some money and take a chance, we would still be on party lines and using roadside payphones. Leave Sprint alone. Let them do what they do best. Spend lots of money to make something innovative and work. Just like ION. It could have worked but the investors didn't have the balls to stay the course. If you look at AT&T's uVerse, that was Sprint 8 years ago. Can you dream of where they would be today if they were allowed to continue with that project? That 2billion they lost would be chicken feed today. Lesson learned. At least for some.
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