Sprint Nextel (Overland Park, Kan., U.S.A.) said it would need $7 billion in new financing agreements over the next few years to cover a cash shortfall created by Apple Inc's iPhone and a network upgrade.
"If we want to maintain a cash balance as high as $2 billion minimum at any point in time, we would want to extend the maturities of $4 billion that come due in 2012 and 2013 and raise between $1 billion to $3 billion, primarily from vendor financing," said Chief Executive Dan Hesse on Wednesday.
From the testing to the deployment of fiber cables, submarine communication networks come with many challenges. For one, the cost and time associated with submarine networks far exceed that of terrestrial networks—whether it is being deployed or repaired. Furthermore, the number of customers relying on these networks is vast, making a damaged cable critical to repair as soon as possible. Considering these factors, it is essential that these fiber cables be meticulously tested and re-tested before being deployed.
The top two U.S. telecom operators, AT&T Inc (Dallas, Texas, U.S.A.) and Verizon Communications (New York) reported financial results from the third quarter of 2011. Both companies reported increased revenue from the year-ago quarter; although AT&T's revenue was below analyst expectations, while Verizon's revenue was slightly higher than expectations. Both companies’ revenue was affected by weak smartphone sales in the third quarter.
China Mobile (Beijing, China), the world's largest mobile carrier by subscribers, has 10 million iPhone users even though it does not yet have an agreement with iPhone maker Apple, says its chairman.
Wang Jianzhou also said Apple had promised to make an iPhone compatible with China Mobile's TD-LTE standard when its next-generation model comes out. He could not say when this would happen.
"We have not yet got agreement with Apple," say Wang. "Apple promised to provide, when they develop the iPhone for LTE, that it will include TD-LTE. We are discussing the details."
As a result of two agreements signed on Thursday with ZTE (Shenzhen, P.R.C.), a telecom equipment manufacturer, and the government of the Democratic Republic of the Congo, France Telecom-Orange (Paris, France) will acquire 100% of Congo Chine Télécom, a mobile operator in the Democratic Republic of the Congo. France Telecom-Orange will contribute its marketing, commercial and technical expertise, as well as the Orange brand to leverage CCT’s network assets, says the company.
C Spire Wireless (Ridgeland, Miss., U.S.A.), a privately held regional U.S. mobile phone network operator, will become the fourth U.S. operator to sell the Apple Inc (Cupertino, Calif., U.S.A.) iPhone in "coming weeks" beating much bigger rival T-Mobile USA to a Apple deal.
C Spire, which recently changed its name from Cellular South, has about a million customers in four states, making it more than 33 times smaller than No. 4 U.S. operator T-Mobile USA, which has 33.6 million customers.
The scalability, flexibility and cost advantages of Ethernet are fueling a massive and rapid transformation of Wireless Service Providers’ transport network infrastructure—from TDM to Ethernet. According to Infonetics Research, only 45% of Wireless Service Providers considered moving to all IP/Ethernet backhaul network infrastructures in 2009, whereas in 2010, 65% planned to make the change including 100 operators already deploying it.
The scalability, flexibility and cost advantages of Carrier Ethernet are fueling a massive transformation of Wireless Service Providers’ legacy TDM transport network infrastructures.
On an ongoing basis, industry insiders are reminded that wireless operators often follow in each other’s footsteps when it comes to new technology. Tiered pricing is the most recent example. For years, operators, vendors, analysts and industry watchers had been shown, ad nauseam, the graph of data use outstripping revenue gains. Yet it took until 2010 for a U.S carrier, in this case AT&T, to make the move to tiered pricing, although others have since followed suit. One area that has gotten a similar “wait-and-see” treatment in the wireless industry is personalization.
Deutsche Telekom (Bonn, Germany) and France Telecom-Orange (Paris, France) announced that following approval by the relevant anti-trust authorities, BUYIN will start business operations on Monday as a Brussels-based procurement joint venture between the two companies.
The company, which also has operational units in France and Germany, is headed by Volker Pyrtek, previously Chief Procurement Officer at Deutsche Telekom.