LightSquared, Sprint confirm 15-year network agreement

News Wireless United States 28 JUL 2011
LightSquared, Sprint confirm 15-year network agreement
LightSquared and Sprint confirmed a 15-year agreement to share spectrum resources and network capacity. The agreement will see Sprint deploy and operate LightSquared's LTE radio network in the L band. Sprint will 'host' the network in spectrum held by LightSquared, and receive total payments of USD 9 billion cash over 11 years as well as USD 4.5 billion in credit towards wholesale capacity on LightSquared's satellite network. Sprint will also have an option on up to 50 percent of the capacity on the L-band network. LightSquared said the deal will lower its deployment costs by over USD 13 billion in the next eight years, and see it meeting the coverage requirements under its spectrum licence one year ahead of the deadline for 260 million people by 2015. The two operators also struck a roaming deal for LightSquared's wholesale customers to have access to Sprint's 3G network. LightSquared expects to launch its first LTE services in 2012. The agreement still depends on the FCC approving LightSquared's roll-out plan for the L band to avoid interference with other services such as GPS.

Categories:

Mobile

Companies:

Sprint,  LightSquared

Countries:

United States

Tags:

Network Access, Cooperations & alliances, Network operations services, Wholesale, 4G - LTE, Contract & orders

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