Sprint faces legal challenge to WiMAX partnership

14 May 2008

Sprint Nextel’s newly announced WiMAX partnership with Clearwire is facing legal action from one of Sprint’s affiliate operators. The affiliate company, iPCS, which offers wireless services under the Sprint brand in 80 markets in Illinois, Michigan, Pennsylvania, Indiana, Iowa, Ohio and Tennessee, says the WiMAX venture breaches its exclusivity rights in its service areas. iPCS has already been to court to block Sprint from offering wireless services over Nextel’s iDEN network in iPCS territory. Sprint and Clearwire plan to get their new WiMAX operation off the ground by the end of this year, with a view to creating a nationwide mobile broadband network. A number of cable operators plus chip manufacture Intel and search engine Google are also participating in the venture.