Clearwire has also built a next-generation network infrastructure, merging the best features of cellular, cable, DSL and WiFi. The system is mobile, fairly easy to install on a customer's computer, and high-speed. Its extensive portfolio of the wireless spectrum can potentially cover 157 million people.

Motorola will own Clearwire's wireless equipment business. The communications company currently sells so-called WiMAX equipment, which helps support wireless broadband services at speeds up to 70 megabits per second and a broadcast range of up to 30 miles. Now, Motorola will provide WiMAX equipment to Clearwire.

As for Intel, it's no secret that company wants widespread adoption of its WiMAX chips, including the Rosedale 2 chips it announced several weeks ago. Clearwire provides an ideal platform for wider WiMAX adoption.

That makes the $900 million investment a win for all involved. Clearwire no longer needs to tap the IPO market, which has become increasingly difficult for tech companies, as seen with the dismal performance of *Vonage*. In fact, the company withdrew its IPO filing last week. In addition, it has two marquee partners to provide strong technology support and probably marketing muscle.

Intel and Motorola, meanwhile, get instant adoption of their next-generation technologies. This may spark the interest of other prospective customers; for example, *Sprint* is considering WiMAX for its own network. And if Clearwire does build a fast-growing business and goes public, Intel and Motorola stand to reap a nice IPO bonus.



RAD-INFO, Inc. - NSP Strategist
We Help ISPs Connect & Communicate

WISPA Wireless List:



Reply via email to