Clearwire today announced the transaction of the merger between Sprint, Google, Intel, and Cable Operators. PhoneNews.com was on the conference call, and we have the key details announced on it.
The Mobile WiMAX operator did not provide specifics on when, exactly, their existing pre-WiMAX network would be upgraded to the same WIMAX revision that Sprint’s XOHM is using, or when XOHM’s network would be integrated. Sprint’s XOHM management team will combine with Clearwire’s. Clearwire did say that they plan to upgrade the existing Clearwire network some time in 2009.
But, Clearwire did drop some hints of a plan. In the first half of 2009, Clearwire will integrate Sprint’s infrastructure and core network operations, which would fall in-line with expectations for a fall hard launch of a consistent WiMAX network in over 50 markets.
As to branding, XOHM will be phased out, and Sprint will use Clearwire directly to sell WiMAX services. The new brand will be called, simply, Clear. Clearwire will continue to be used as a brand in markets which have already launched Clearwire services. Clear profits will be shared between Sprint and Clearwire, but further co-branding (such as hybrid EV-DO/WiMAX options) was not discussed.
Clearwire also touched on LTE. The company attempted to rationalize that WiMAX vs LTE was not a platform war, similar to CDMA vs GSM/UMTS. Because both 4G technologies are fully IP-based, Clearwire argues that the two platforms will be much more interchangeable, without requiring devices to be significantly modified. The company even went as far as to indicate that their network would be in an advantageous positioned to transition to LTE, if WiMAX ultimately failed to gain traction.
I’m a Clear user in Portland, Oregon. But whenever I ask whether Clear and Clearwire are the same company, I get told “no.” Yet this article, published last year, indicates otherwise.
Today, I asked a Clearwire rep, via chat, whether my Clear WiMax modem was portable to Clearwire coverage in Syracuse, New York. Again, they said no – that Clear and Clearwire are not the same company. Is there a problem in this so-called merger … or are these companies tetering on the brink of failure?
To answer your question, Alec, Clear and Clearwire are indeed the same company from a corporate standpoint.
However, because Clear and Clearwire service are not yet consolidated… you will often be told that they are different organizations. From a technological standpoint they are.
The company is not on the brink of failure. Rather, the new company just was launched with funding from across the industry. Sprint, Google, Intel, Comcast, and Time Warner are the top backers of “The New Clear”.
Think of Clearwire as version zero of WiMAX technology. Clear service is version 1.0 of WiMAX technology. So, the company is now upgrading Clearwire to the same standard that Clear is using.
That’s happening right now. The old technology from Clearwire, is being upgraded with the new Clear technology gained from Sprint (Sprint XOHM and Clear will be the first to be unified). After that is done, within the next year or so, Clear, Clearwire, and XOHM will all be one and the same from a technological (and business) standpoint.
It’s also why Clear is only in Portland right now. Clear is the future, but XOHM and then Clearwire have to be added to what you have today. The last thing Clear wants to tell you, is that you can use Clearwire and/or XOHM service… you can’t… yet. When they are done, you’ll be able to access all of those existing WiMAX areas, and many more as the service is rolled out nationwide.
Now it is time to jump ship – Clear/Clearwire IS on the brinnk – go with LTE on a real wireless provider. VZW is launching in December.