Dish Network's $25.5 billion bid for Sprint Nextel has drawn support now from two major Sprint investors who view it as a compelling alternative to Japanese operator SoftBank's plan to take control of 70 percent of Sprint for $20.1 billion.
Almost a decade after Qualcomm's MediaFlo, Crown Castle's Modeo and Aloha Partners' Hiwire first tested the mobile TV game, with less-than-stellar results, a new crop of startups are rolling out essentially the exact same technology with hopes for a very different outcome.
Let's look at how the different constituents--Sprint shareholders, Sprint as the company, Sprint's customers, Sprint's competitors, and the regulator--are affected by Dish's bid for Sprint.
Dish Network's surprise $25.5 billion bid for Sprint Nextel may spark a bidding war between Dish and Japan's SoftBank over the United States' third-largest wireless carrier, according to comments from shareholders and investment analysts. Further, the situation likely won't get straightened out anytime soon, given the difficulty of comparing the two complex transactions.
Dish Network has offered $25.5 billion to buy 68 percent of Sprint Nextel, countering Japanese operator Softbank's $20.1 billion deal to buy 70 percent of the third-largest U.S. operator.
Verizon Wireless made an unsolicited offer to Clearwire to purchase Clearwire's spectrum license leases in major markets for up to $1.5 billion, according to a Wall Street Journal report. The report, citing unnamed sources familiar with the matter, said that it is unclear whether Verizon has any interest in Clearwire beyond getting the spectrum licenses.
There is finally an answer to what Charlie Ergen and Dish Network intend to do with the company's $10 billion cash pile: buy Sprint Nextel. Dish has made an offer worth $25.5 billion to buy 68 percent of Sprint, countering Japanese operator Softbank's $20.1 billion deal to buy 70 percent of Sprint.
Dish Network now has a record $10 billion in cash in hand, about as much as oil and gas giant Exxon Mobil, according to Bloomberg , and no one in the industry really seems to know what Dish Chairman Charlie Ergen plans to do with all the money.
Bankrupt LightSquared and a hedge fund connected to Dish Network Chairman Charlie Ergen could be headed for a showdown in bankruptcy court as the hedge fund has been buying up LightSquared debt, according to a Wall Street Journal report.
Crest Financial, a minority shareholder in Clearwire, proposed that Clearwire's board accept its offer of $240 million in financing as opposed to continue taking $80 million monthly payments from Sprint Nextel, which is part of Sprint's $2.97-per-share offer to buy the 50 percent of Clearwire that it does not already own.