Clearwire Q2 revenues drop 2%; subscriber base approaches eleven million

27 Jul 2012

US WiMAX operator Clearwire has reported revenues of USD316.9 million for the three months ending 30 June 2012, down 2% from the USD322.6 million generated one year earlier. Adjusted EBITDA remains negative, with the telco posting a loss of USD34.4 million, which compares to a deficit of USD79.6 million in 2Q11. Despite posting a net loss of USD311.3 million in the second quarter, Clearwire reports that this is a significant improvement on the USD911.6 million loss generated during the corresponding period of 2011. In operational terms, Clearwire ended the second quarter with a consolidated subscriber base of 10.957 million, broken down as 9.625 million wholesale customers and 1.333 million retail users.

Meanwhile, Clearwire reaffirmed its commitment to ‘the global Time-Division Long-Term Evolution (TD-LTE) ecosystem’, which the company expects to offer important competitive advantages in the years ahead. Last week the company signed a memorandum of understanding (MoU) with China Mobile that will lay the foundation for TD-LTE roaming between two of the largest wireless markets in the world, China and the US. In addition, during the second quarter Clearwire struck a partnership with Qualcomm in which the latter agreed to add support for its TD-LTE platform to its multi-mode LTE chipsets. Previously, in conjunction with Sequans Communications, Clearwire announced a collaboration agreement targeted at accelerating the availability of TD-LTE devices.

Erik Prusch, president and CEO of Clearwire, commented: ‘Every day wireless users become increasingly dependent on their highly capable 4G devices at a time when many in our industry are questioning whether their 4G networks can keep pace. Network congestion and capacity issues have already forced most major operators to curb usage through data caps or speed limits, and the 4G boom has only just begun. We believe Clearwire’s unmatched spectrum portfolio and LTE roadmap are keys to unlocking the value of our deep capacity resources and uniquely position us to meet the short and long term needs of consumers and wholesale carrier partners’.

United States, Clearwire