Sprint Nextel is not going to outsource its network management any time soon, according to an analyst from a firm that recently met with Sprint CFO Bob Brust. Brust met Monday with investors at a gathering sponsored by Robert W. Baird & Co.
"Despite recent speculation regarding possibly outsourcing at least part of network operations, a deal does not appear to be imminent," William Power, an analyst with Baird, wrote in a research note. Sprint was said to be considering outsourcing its network management operations to Ericsson, according to a Feb. 6 report in the Kansas City Business Journal. That report, citing analysts who were watching Sprint, said the nation's third largest wireless carrier would "re-badge" thousands of employees to cut costs.
Sprint is continuing with the 8,000 job cuts it announced in late January, and they appear to be on track to be completed by the end of March. The company is now focused on cutting costs and boosting its marketing presence. Sprint lost 1.3 million subscribers and posted a $1.6 billion net loss in the fourth quarter of 2008.
For more:
- see this Sprint Connection article
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