Home WiMAX News Deutsche Telekom/T-Mobile Said to Be Nearer to Clearwire Deal

Deutsche Telekom/T-Mobile Said to Be Nearer to Clearwire Deal


According to Bloomberg, Deutsche Telekom AG's T-Mobile USA may be closer to a deal with Clearwire Corp to buy wireless spectrum. At this time T-Mobile is the only potential bidder and the sale of the spectrum could happen by the end of first quarter 2011, although another person said they weren't in a rush to buy the spectrum. Clearwire spokesman Mike DiGioia said "we continue to seek additional funding" from sources that include the sale of spectrum; however, he declined to comment on discussions with T-Mobile.

Clearwire has been building out their fourth generation wireless WiMAX network (sold by Sprint and CLEAR) with service available in over 70+ markets now. The pressure is on, though, as Verizon launched their 4G LTE network available in 38 markets with plans to add 140 new markets through 2011. AT&T also plans to launch their own LTE service in the second half of 2011, which means customers will have more choices for the latest 4G technology. If T-Mobile can secure additional spectrum they could have a huge edge over Verizon and AT&T, as one of the challenges of LTE deployment is the difficulty in obtaining spectrum, according to T-Mobile's German chief executive officer, Rene Obermann. In a Jan. 20 statement, Bonn-based T-Mobile said "Deutsche Telekom is exploring various options to acquire additional spectrum and reduce the gap regarding economies of scale compared with its larger competitors, including partnering with other companies".  

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