Dish counters Sprint with higher bid for Clearwire

The US$3.30-per-share bid could set off a bidding war between two companies already at odds over spectrum

Dish Network has offered to buy Clearwire for US$3.30 per share, throwing a wrench in Sprint Nextel's deal to buy its mobile broadband partner for $2.97 per share.

Clearwire disclosed Dish's offer in a press release on Tuesday afternoon, saying it has an obligation to consider the offer.

Sprint owns almost half of Clearwire's stock, and on Dec. 17, the two companies reached a deal for Sprint to buy the rest of the company. Sprint still delivers 4G service to many of its customers over Clearwire's WiMax network. If the deal goes through, Sprint plans to use Clearwire's large spectrum holdings to supplement its LTE network. The Sprint deal depends on Softbank's $20 billion bid for most of Sprint going through.

Dish's bid could set off a bidding war for Clearwire, which has some of the biggest spectrum holdings of any U.S. carrier. Clearwire holds about 160MHz of spectrum in many major U.S. markets, though its frequencies are in high bands that are not of prime quality for mobile broadband.

Some Clearwire shareholders have objected to Sprint's offer, saying the company's spectrum holdings alone are worth several times the roughly $2.2 billion that Sprint is offering for the company.

Dish is a satellite TV company that has obtained approval from the U.S. Federal Communications Commission to use some of its satellite spectrum for terrestrial mobile service. It was already at odds with Sprint before making its bid for Clearwire, because Sprint won spectrum rule changes from the FCC that diminished Dish's ability to use its new cellular spectrum.

Before Dish offered to buy Clearwire, it had offered to buy some of the company's spectrum, at substantially the same pricing, Clearwire disclosed in its press release.

Stephen Lawson covers mobile, storage and networking technologies for The IDG News Service. Follow Stephen on Twitter at @sdlawsonmedia. Stephen's e-mail address is stephen_lawson@idg.com

Join the PC World newsletter!

Error: Please check your email address.

Tags business issuesDISH NetworktelecommunicationCarriersmobileClearwireMergers and acquisitions

Our Back to Business guide highlights the best products for you to boost your productivity at home, on the road, at the office, or in the classroom.

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Stephen Lawson

IDG News Service
Show Comments

Most Popular Reviews

Latest News Articles

Resources

PCW Evaluation Team

Azadeh Williams

HP OfficeJet Pro 8730

A smarter way to print for busy small business owners, combining speedy printing with scanning and copying, making it easier to produce high quality documents and images at a touch of a button.

Andrew Grant

HP OfficeJet Pro 8730

I've had a multifunction printer in the office going on 10 years now. It was a neat bit of kit back in the day -- print, copy, scan, fax -- when printing over WiFi felt a bit like magic. It’s seen better days though and an upgrade’s well overdue. This HP OfficeJet Pro 8730 looks like it ticks all the same boxes: print, copy, scan, and fax. (Really? Does anyone fax anything any more? I guess it's good to know the facility’s there, just in case.) Printing over WiFi is more-or- less standard these days.

Ed Dawson

HP OfficeJet Pro 8730

As a freelance writer who is always on the go, I like my technology to be both efficient and effective so I can do my job well. The HP OfficeJet Pro 8730 Inkjet Printer ticks all the boxes in terms of form factor, performance and user interface.

Michael Hargreaves

Windows 10 for Business / Dell XPS 13

I’d happily recommend this touchscreen laptop and Windows 10 as a great way to get serious work done at a desk or on the road.

Aysha Strobbe

Windows 10 / HP Spectre x360

Ultimately, I think the Windows 10 environment is excellent for me as it caters for so many different uses. The inclusion of the Xbox app is also great for when you need some downtime too!

Mark Escubio

Windows 10 / Lenovo Yoga 910

For me, the Xbox Play Anywhere is a great new feature as it allows you to play your current Xbox games with higher resolutions and better graphics without forking out extra cash for another copy. Although available titles are still scarce, but I’m sure it will grow in time.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?