Sprint Nextel Corp and Japan's SoftBank Corp have reached an agreement with U.S. authorities on the national security aspects of the Japanese firm's pending $20.1 billion deal to win control of the U.S. wireless carrier, people familiar with the matter said.
As a part of that agreement, the U.S. government will have a veto over new equipment purchases by Sprint in certain circumstances if the two companies merge, one source said.
Crest Financial, an investor in Clearwire Corp, said on Tuesday that the voting threshold for approval of Sprint Nextel Corp's purchase of Clearwire should exclude strategic investors such as Comcast Corp and Intel.
Sprint (Overland Park, KS, USA), Clearwire's majority owner, needs approval from more than 50 percent of Clearwire's minority shareholders in order to go ahead with its proposed $3.40-per-share purchase of the rest of Clearwire (Bellevue, WA, USA).
Cisco Systems Inc, the world's leading network equipment maker, will try to convince Europe's second highest court on Wednesday that it should overturn the EU's approval of Microsoft's purchase of Skype.
If Cisco (San Jose, CA, USA) wins the challenge at the Luxembourg-based general court, the European Commission would have to annul its decision, which allowed Microsoft (Seattle, WA, USA) to buy the Internet video and voice company without having to make any concessions.
Satellite TV provider Dish Network Corp and wireless network provider nTelos Holdings Corp said they would jointly develop a broadband service within nTelos's coverage territory serving parts of Virginia, Maryland and a few other states.
Dish (Meridian, CO, USA) has been trying to diversify beyond its core pay-TV business that has matured and faces tough competition from cable, telecom and Internet video providers.
SoftBank Corp would appoint a "security director" to Sprint Nextel Corp's board if its takeover bid succeeds and give the U.S. government right of approval on the appointment in hopes of easing national security concerns raised by the proposed deal.
Sprint (Overland Park, KS, USA) said in a filing with the U.S. Securities and Exchange Commission on May 1 that the new director appointed by Tokyo-based SoftBank would oversee public safety concerns related to Sprint's wireless and wireline operations.
It seems mobile network operators are constantly being urged to play a bigger M2M role than that of connectivity provider, but Telenor Connexion claims its focus on connectivity is helping it stay ahead of the competition.
The operator this week announced a new deal to provide connectivity services in Europe and Asia for Geotab, a North American fleet telematics specialist now expanding its service internationally.
RACO Wireless is set to announce two acquisitions that will significantly enhance its managed-services offering to M2M customers.
The M2M-focused MVNO had made clear its acquisition intentions last October, when private-equity group Inverness Graham Investments took a majority stake in the business, and has spent much of the intervening period examining potential takeover targets.
Dish Network Corp has rolled out an advertising campaign suggesting a deal by a Japanese company to acquire Sprint Nextel Corp could threaten U.S. national security, hoping to sway lawmakers and win support for its rival offer.
The campaign, which so far appears on the Internet and in Washington-area newspapers, is Dish's most public lobbying effort yet against Japan-based SoftBank Corp (Tokyo).
Sprint Nextel Corp
Clearwire (Bellevue, WA, USA) shares almost immediately traded around the new offer price, having consistently traded well above the old $2.97-per-share bid. Sprint (Overland Park, KS, USA) announced the revised price just hours before Clearwire was due to hold a special meeting for shareholders to vote on the original offer.
The first two days of this week’s CTIA Wireless Show in Las Vegas have been marked by a flurry of M2M announcements, with partnerships between MVNOs and network operators emerging as a major theme. M2M Zone provides a round-up of the most important news items.