Dec 1, 2008

In a conference call earlier today, Clearwire Corporation's CEO Benjamin Wolff spoke enthusiastically about the 'new' post-merger Clearwire and the company's ambitious plans to "reinvent wireless" by developing a nationwide mobile WiMAX network (the company will retain the Clearwire name, but its products will be referred to as Clear).

Wolff didn't hide the fact that the Sprint-Clearwire deal had been left for dead on more than one occasion, acknowledging that today's announcement is the culmination of a five-year pursuit that "defied conventional wisdom." He also noted that Clearwire is still an "underdog" that faces competition from much bigger companies.

Then, he went on to explain why he believes his company is up to the challenge.

For starters, he explained, Clearwire now has more spectrum for 4G services than all of the other carriers combined. He called the spectrum the "crown jewels" of the wireless industry, and pointed out that Clearwire's holdings are more than twice the amount of spectrum sold in the 700 MHz auction earlier this year.

He also touted the company's open Internet business model; it's building an open all-IP network that Wolff says will support other devices and apps and free up Clearwire from some of the "fears about cannibalizing existing wireless or wireline revenues" that other carriers may face.

Then, there's the roster of big-name investors and partners that have bought into Clearwire. Wolf said that Sprint, Comcast, Time Warner Cable and Bright House Networks are each expected to become significant wholesale customers for Clearwire, selling the company's services under their own brands. Clearwire will be able to offer 3G services using Sprint's network while it's 4G network is being built as well. 

Intel and Google will also play a role in making sure mobile WiMAX products and services hit the market. According to Wolff, there are already more than 80 companies developing over 480 mobile WiMAX products and price points are starting to become more competitive.

Those relationships notwithstanding, Wolff emphasized that Clearwire is an independent company with an independent board that will make its own decisions. Eight board members were announced today, and five others will be appointed soon.

No announcements have been made yet about when and where Clearwire will begin its build-out, but Wolff did say that Sprint's current XOHM customers in Baltimore will continue to receive service without interruption. Clearwire will be rebranding XOHM as Clear, the new name for its products and services, and its first marketing campaign will focus on the tagline, "Let's Be Clear."

To those who still question Clearwire's investment in mobile WiMAX when others are banking on another 4G technology known as Long-Term Evolution (LTE), Wolff played down the battle between WiMAX and LTE. He said the choice isn't anything like the technology wars that have pitted other standards against each other, and he predicted that it won't be a case where one will win and the other will lose. In fact, he said that Clearwire is positioning itself to be able to take advantage of LTE in the future as well.

In the end, Wolff embraced the role of underdog but made it clear that he intends to capitalize on the current opportunity by being "nimble and entrepreneurial." 

Tags: Benjamin Wolff, broadband, Clearwire, Comcast, Google, Intel, LTE, Sprint, Time Warner Cable, UMB, WiMAX, wireless