Clearwire to hike rates in some WiMAX markets

Clearwire (NASDAQ:CLWR) is going to raise its rates for around 30,000 customers who signed up for the company's WiMAX service.

"Affected customers will have a new rate of approximately $45/month. In most cases they were paying roughly $35/month," Clearwire spokesman Mike DiGioia told FierceWireless. "The new rate is in line with what service is available for today." The changes will affect both home Internet and mobile broadband customers.

"The new rates will replace expiring promotional offers or rate plans that have been discontinued," DiGioia continued. "Many of these plans included limits in terms of speeds available. Following the rate change, these limits will be removed."

DiGioia said that the changes are spread across Clearwire's markets and do not affect customers in any specific location. He also said the rate changes are not tied to when a market launched.

As of the end of the second quarter Clearwire had 1.29 million retail subscribers and 6.36 million wholesale subscribers. Many of the company's wholesale customers are from Sprint Nextel (NYSE:S), Clearwire's majority owner. Clearwire intends to deploy a TD-LTE network, in addition to maintaining its WiMAX network, if it can secure around $600 million in additional funding.

For more:
- see this The Oregonian article

Related Articles:
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Clearwire promotes COO Prusch to CEO spot
Clearwire details LTE-Advanced advantages, but debt issues loom
On the road to LTE, Clearwire faces major technical, financial hurdles
Clearwire to deploy LTE - if it can get additional funding

Article updated Sept. 20 to clarify the how the Clearwire rate changes will affect the company's markets.

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