Sprint's WiMax dilemma
Sprint's WiMax dilemma
Sprint Nextel's ousted CEO may not be the only casualty as unhappy investors pressure the company to dump plans for a next-generation network.
By Marguerite Reardon Staff Writer, CNET News.com -->
Published: October 10, 2007, 4:00 AM PDT
If Wall Street pundits get their way, Sprint Nextel's next CEO will put the brakes on plans for a new, high-speed wireless network.
But such a move, while no doubt cutting costs, could condemn the struggling company to also-ran status.
After months of declining subscriber numbers, Sprint Nextel announced Monday that CEO Gary Forsee had stepped down as chairman and chief executive officer. Forsee's departure had been a long time coming, as investors, upset over the company's poor performance, had been pressuring the company's board of directors to make a change at the top.
Among investors' biggest concerns is Sprint's plan to build a next-generation wireless network using a technology called WiMax. The company has committed itself to spending $5 billion in the next three years to build the network, with about $2 billion of that money earmarked to be spent in the next year to get WiMax coverage to about 100 million people by the end of 2008.
Complete article.
Sprint Nextel's ousted CEO may not be the only casualty as unhappy investors pressure the company to dump plans for a next-generation network.
By Marguerite Reardon Staff Writer, CNET News.com -->
Published: October 10, 2007, 4:00 AM PDT
If Wall Street pundits get their way, Sprint Nextel's next CEO will put the brakes on plans for a new, high-speed wireless network.
But such a move, while no doubt cutting costs, could condemn the struggling company to also-ran status.
After months of declining subscriber numbers, Sprint Nextel announced Monday that CEO Gary Forsee had stepped down as chairman and chief executive officer. Forsee's departure had been a long time coming, as investors, upset over the company's poor performance, had been pressuring the company's board of directors to make a change at the top.
Among investors' biggest concerns is Sprint's plan to build a next-generation wireless network using a technology called WiMax. The company has committed itself to spending $5 billion in the next three years to build the network, with about $2 billion of that money earmarked to be spent in the next year to get WiMax coverage to about 100 million people by the end of 2008.
Complete article.