After weeks of rumors, it's now official: RadioShack will launch its own prepaid branded wireless service powered by Leap Wireless' ( NASDAQ:LEAP ) Cricket Communications. The new venture, dubbed RadioShack No-Contract Wireless, will begin service Sept. 5.
FCC Chairman Julius Genachowski will propose to his fellow commissioners that the agency review its rules for how much spectrum a carrier should be able to hold.
Cricket provider Leap Wireless introduced new pricing plans and added its Muve Music service to all of its Android smartphone plans. The flat-rate carrier said it expects the new plans to help it reduce churn and increase gross subscriber additions.
Leap Wireless' Cricket Communications subsidiary is extending its popular Muve Music effort to all Android rate plans. The all-you-can eat service was previously available to Android device owners as part of Cricket's $65 flat-rate monthly package.
As had been expected, the FCC approved Verizon Wireless' $3.9 billion purchase of 20 MHz of nationwide AWS spectrum from a group of cable companies, as well as related spectrum deals with T-Mobile USA and Cricket provider Leap Wireless. The FCC put several restrictions and conditions on the deals related to buildout requirements and data roaming.
There appears to be more evidence that RadioShack will indeed launch a prepaid MVNO powered by Leap Wireless' Cricket Communications. The MVNO, which was first rumored last week, is supposed to launch Sept. 5 and will be called No Contract Wireless.
The recent rise in Sprint Nextel's share price has stoked market speculation that the company could become a takeover target, or perhaps make an acquisition of its own.
RadioShack may be partnering with Cricket provider Leap Wireless to form a new MVNO dubbed RadioShack Mobile, according to the blog Engadget .
After a disastrous second quarter, Cricket provider Leap Wireless said it will not make its $75 million minimum wholesale purchase commitment of network access from Sprint Nextel. "Due to certain provisions in the wholesale agreement, we do not believe the company is obligated to meet this commitment in 2012, although we expect to satisfy a significant majority of it in any event," said Leap CEO Doug Hutcheson. "Sprint has not agreed to our decision and we are in discussions with them."
SpectrumCo and Cox Communications say Sprint Nextel's allegations that their $3.9 billion deal to sell AWS spectrum to Verizon Wireless will negatively impact the backhaul and Wi-Fi offload markets are not only wrong but also irrelevant to the proposed license transfer.