According to a report from the Associated Press, the cable providers within the Pivot joint venture may break away and launch their own mobile service. Comcast, Time Warner, Cox Communications and Advance/Newhouse Communications are recruiting people to run wireless business strategy and manage a portfolio of handsets, according to the report. The cable companies are also tapping consultants with expertise in wireless business strategy. The maneuvers are likely to be linked to Sprint's recent about-face on the Pivot joint venture.
During Sprint's third quarter earnings call earlier this month, it was quietly revealed by CFO Paul Saleh that Pivot is plagued by provisioning issues and Sprint has decided to not expand the service into other markets or offer it in more retail stores. Saleh said that Sprint is focusing on simplifying its business and therefore has decided not to expand Pivot. He added that Pivot is difficult to provision and deliver to customers in a timely and simple manner. However, he added that the company's relationship with the cable joint venture is still strong and that they are looking at ways to simplify the offering.
For more on Pivot's fate:
- read this article from the AP