Sprint to mothball consumer wireline business from September

24 Jun 2015

Sprint Corp is looking to drop its consumer wireline business and a number of associated services, by 19 September, or ‘as soon thereafter as the necessary regulatory approvals can be obtained’, it has confirmed in a regulatory filing. Citing ‘changing market conditions’ Sprint will no longer provide consumer long-distance services and associated features in each of the 50 US states, the District of Columbia, Puerto Rico, the US Virgin Islands or Guam. Previously, on 5 January the telco received permission to cease offering its ‘Sprint Services’ wireline features to new customers.

In 2006 Sprint spun off its EMBARQ-branded local exchange carrier (LEC) business, which operated in 18 states, into an independent company. In July 2009, EMBARQ was purchased for USD11.6 billion by CenturyTel, which rebranded as CenturyLink after the merger.

While rumours concerning the hinted-at sale of Sprint’s remaining fixed line assets continue to swirl, in February 2015 CEO Marcelo Claure told investors that the assets are strategic in letting it compete in the wireless business. As such, Sprint will continue to use the existing wireline network to deliver MPLS-based solutions to its business customers.

Puerto Rico, United States, Virgin Islands (U.S.), Sprint Corporation (became part of T-Mobile US)