Maravedis Cloud4G -Lead Wireless Broadband to the Personal Cloud
Softbank's Folly? Or Is This Just the First Step in a Long Distance Race?
Investors have witnessed telecommunications companies enter into a new stage of industry consolidtion spurred by the growing appetite for LTE data centric mobile network carriers to devoir companies in satellite and media segments of the emploding formation of the ICT, Information and Communications Technology, industry.
AT&T is likely to get the go ahead from the DOJ and FCC regulators to acquire DTV, Direct TV, the largest US based satellite service provider. Upon Comcasts failed attempt to acquire Time Warner, Charter is likely to gain approval to acquire TW plus Brighthouse, forming the second largest US cable company. Meanwhile, Charlie Ergen's DISH Networks has proceeded further in talks to acquire T-Mobile than has been seen in past attempts to enter the mobile space: in this go, DISH and T-Mobile US are said to have negotiated who will head up the joint company, with Ergen becoming the COB and strategic director while T-Mobile's Legere is to become the CEO of the merged company. However, parent company, Deutshe Telekom has reacted with a fishing expedition of its own... tolling for bidders and also indicating the parent can stay put during this period of TMUS's ascension in the competitive ranks.
How do you propose Sprint is going to acquire any company that has hopes to change their competitive position? Sprint is financially leveraged past the point that it can make major acquisitions of spectrum or companies or pursue a game changing built of networks.
Clearwire is Thrust into Play ... its worth more, but will anyone join the bidding?
Recent institutional investors and financial analysts have assessed Clearwire's spectrum to be valued at between $0.25 and $0.35 USD per MHz.POP which places the value of the shares, minus the debt at about $7. This value for the spectrum look reasonable considering that it is lower than the average estimate of over four years ago when Clearwire first went public. Demand for broadband acces has grown strongly since. And despite more spectrum coming into the market, the market has proven to be ready to make use of well deployed and marketed network access that provides higher capacities The next competitive stage will encroach increasingly into fixed-nomadic as well as mobile broadband as the ability to satisfy the several gigabit per month usage per household needed to support video and download services will come closer to wired services. That opens up the opportunity for the long talked about 'tripple play' to become a more potent market factor. The potency of the single-network to deliver much of the broadband everywhere experience catapults off the fact that it is no longer just one network that will deliver the experience. Instead, the industry is rapidly shifing towards the SDWN, multiple carrier smart network that includes the common offloads of WiFi, DSL and cable access as supplements. That will soon create an environment in which Clearwire's LTE network can fit into the tiered network model as the higher capacity metro-zone and supplement for the 'middle mile' network.
Source Maravedis.com 2008
Its worthwhile to now and again look back at prior forecasts to see how good our analysis proved to be and where changes occurred that shed insight into emerging trends.
In early 2009 Verizon had begun an aggressive program of LTE network and device development and deployments. Clearwire had presented a modest threat as the WiMAX upstart with an earlier lead into the new generation OFDM wireless technologies with the mobile handset muscle of Sprint to aide them. The combined Sprint-Clearwire alliance made strong overtures for upstaging the wireless leaders into the next era of higher bandwidth networks, an era that the two hoped would demand wider bands of spectrum the new network using the 2.6GHz extension band spectrum could deliver.