Intel and Google to invest in WiMAX venture - Clearwire
Tiny URL: http://tinyurl.com/6c5jbc
WiMAX got a major boost with the creation of a new mobile broadband venture combining industry leaders from the field of communucations, entertainment and technology. Sprint and Clearwire Corporation have combined their next generation wireless broadband business creating a New Mobile Broadband Company.
The new company, which will be named Clearwire, will be focused on expediting the deployment of the first nationwide mobile WiMAX network to provide a true mobile broadband experience for consumers, small businesses, medium and large enterprises, public safety organizations and educational institutions. Intel, Google, Comcast, Time Warner Cable, and Bright House Networks will invest $3.2 billion in the combined venture, at a target Price of $20.00 per Share.
Google has shown significant interest in recent times in acquiring ownership and rights to communication infrastructure and demonstrated keen intent in bidding for the 700MHz spectrum opened by the FCC. Google’s strategy is to use the access pipes to enable consumers to and use the Internet. In return, the search engine giant hopes to increase it’s revenues through it’s uniquely monetized online ad revenue business that is creating rich cash flows for the company.
