Sprint Airave and Magic Box
On September 17, 2007, Sprint Nextel launched the Airave, which increased cell reception over an area of 5,000 square feet (460 m2) and could handle up to three calls at once by hooking into an existing broadband connection and using VOIP. The Airave helped eliminate poor signal quality inside buildings. Airave was used only for voice calls using a Sprint CDMA phone and was unavailable for Nextel iDEN phones or data cards/USB modems. By default, the Airave unit allowed any Sprint phone to connect through it, but it could be reconfigured to accept only connections from up to 50 authorized numbers in order to eliminate unwanted use. The Airrave used the customers' own bandwidth to connect calls—potentially slowing internet speeds on less ample connections, and causing the customer to essentially subsidize the Sprint network.[116] Sprint was one of the only carriers that had not charged its customers for this type of device if the customer demonstrated that Sprint coverage was inadequate where they lived.
Airave 2.0 was a device that supported up to six devices simultaneously and data usage. The device required a land-based internet service (such as DSL or cable modem) to produce the CDMA signal. The Airave 2.5 improved reliability and had two LAN ports.[117]
Airave 3.0 was a device that broadcast both CDMA and LTE using band 41 that was approved by the FCC in late 2016[118] and became available in 2017.[119] It required a cable internet connection and included a WAN RJ45 port and two RJ45 Ethernet LAN ports.
The Magic Box created its own Band 41 LTE signal and used Band 41 or Band 25 LTE signals instead of a cable connection for the internet. It was designed to be placed on a window sill and broadcast to the inside of a building plus outside the building for 100 meters or further.[120]
Sprint Smart Velocity
Sprint Velocity was Sprint Corporation's Connected Vehicle Platform, announced in 2012 in partnership with Chrysler.
Acquisition by SoftBank Corporation
On October 14, 2012, the Japanese telecommunications company SoftBank announced it intended to purchase 70% of Sprint Nextel Corporation for $20.1 billion.[75] SoftBank stated that Sprint will remain a separate entity, and will remain a CDMA carrier until it is an all-LTE carrier.[76] On April 15, 2013, Dish Network announced a higher bid for Sprint Nextel than the offer placed by SoftBank, with a $25.5 billion offer. On June 18, 2013, Dish retracted its bid and decided that it would instead focus on its intent to purchase Clearwire, however on June 26, 2013, Dish also retracted its bid for Clearwire, leaving the road clear for SoftBank to acquire the company. The United States Federal Communications Commission approved SoftBank's acquisition of a stake in Sprint. The FCC's acting chairwoman Mignon Clyburn and commissioner Ajit Pai both gave statements vociferously supporting the acquisition, saying the deal "serve[s] the public interest".[77] The acquisition was completed on July 10, 2013.
On August 6, 2013, SoftBank purchased approximately 2% more shares of Sprint Corporation, increasing its ownership stake in the company to 80%.[78]
On November 7, 2012, Sprint Nextel announced the acquisition of 20 MHz of spectrum and 585,000 customers from U.S. Cellular in Chicago, St. Louis, central Illinois and three other Midwest markets. The deal was expected to close in mid-2013.[79]
Prior to July 9, 2013, Sprint Nextel only owned a 50.8% equity interest in Clearwire Corporation; On December 17, 2012, Sprint Nextel agreed to pay US$2.97 per share, US$2.2 billion in total, to purchase the portion of Clearwire shares that Sprint Nextel did not already own. On June 20, 2013, Sprint Nextel increased its offer to $5 per share, the transaction was approved by regulators on July 5, 2013, and closed on July 9, 2013, and Sprint Nextel became the complete owner of Clearwire and its assets.[80]
On March 31, 2015, the U.S. bankruptcy court approved a $160 million takeover of electronics store chain RadioShack by Standard General. As part of the deal, the company entered into a partnership with Sprint to serve as co-tenants in 1,435 of its locations, beginning on April 10, 2015. Roughly a third of the retail space in each location is dedicated to Sprint products and services, and the stores will ultimately adopt Sprint as their primary brand in place of RadioShack. Sprint stated that this deal would increase the company's retail footprint by more than double.[81][82]
On January 23, 2017, Sprint announced that they were buying a 33 percent stake in the music streaming service Tidal.[83]
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Merger of Sprint Corporation and Nextel Communications
On December 15, 2004, Sprint Corporation and Nextel Communications announced they would merge to form Sprint Nextel Corporation.[51] The merger was transacted as a purchase of Nextel Communications by Sprint Corporation for tax reasons; Sprint purchased 50.1 percent of Nextel. At the time of the merger announcement, Sprint and Nextel were the third and fifth leading providers in the U.S. mobile phone industry, respectively.[52]
Sprint shareholders approved the merger on July 13, 2005.[53] The merger deal was approved by the U.S. Federal Communications Commission (FCC) and U.S. Department of Justice on August 3, 2005.[54] Sprint Nextel was formed on August 13, 2005, when the deal was completed.[55]
Sprint and Nextel faced opposition to the merger, mostly from regional affiliates that provided wireless services on behalf of the companies.[56] These regional affiliates felt that the new company would hinder competition.[56]
On September 1, 2005, Sprint Nextel combined plan offerings of its Sprint and Nextel brands to bring uniformity across the company's offerings.[citation needed]
Nextel has licensed its identity to NII Holdings, Inc., of which Sprint Nextel owned 18%. NII has used the Nextel brand to set up networks in many Latin American countries. Following Sprint's purchase of Nextel, Nextel sold all of its investment in NII Holdings.[citation needed]
The integration process was difficult due to disparate network technologies. Sprint tried to address this with the advent of PowerSource phones. These phones routed voice call and data services over Sprint's PCS spectrum while maintaining DirectConnect services over 800 MHz spectrum. However, this was not sufficient in coverage, due to the inability to roam on a non-PCS spectrum.[citation needed] Top Nextel Executives began leaving the company immediately after the merger closed. Tim Donahue, the Nextel CEO, stayed on as executive chairman, but ceded decision-making authority to Gary D. Forsee. Tom Kelly, COO of Nextel, took an interim staff position as Chief Strategy Officer. Two years after the merger, only a few key Nextel executives remained, with many former Nextel middle- and upper-level managers having left, citing reasons including the unbridgeable cultural difference between the two companies.[citation needed]
In 2006, Sprint spun off its local telephone operations, including the former United Telephone companies and Centel, as Embarq.[57]
Sprint's acquisition of Nextel was a disaster from a fiscal standpoint in 2008, the company wrote down $29.7 billion of the $36 billion sum it had paid for Nextel in 2005, wiping out 80 percent of the value of Nextel at the time it had been acquired.[58] The write down reflected the depreciation in Nextel's goodwill since the date of acquisition.[59]
Prior to their merger, Sprint and Nextel were dependent on a network of affiliated companies. Following the announcement of the merger agreement, some of these affiliates came forward with strong opposition to the Sprint-Nextel merger on the grounds that the merged company might violate existing agreements or significantly undercut earnings to these affiliates. In order for Sprint Nextel to allay some of this opposition, they initiated discussions of either acquiring some of these affiliates or renegotiating existing agreements. In several cases, the newly formed company was forced to acquire affiliated companies in exchange for their dropping their opposition to the merger. Forsee said that the company would likely have to acquire all of its remaining affiliates.[citation needed]
In 2005, Sprint Nextel acquired three of its ten wireless affiliates: US Unwired, acquired in August; Gulf Coast Wireless, acquired in October; and IWO Holdings, acquired in October. Alamosa PCS, which Sprint Nextel acquired on February 2, 2006, was the largest of its affiliate carriers. Other acquired affiliates include Ubiquitel, iPCS, Enterprise, and Northern. In 2021, after merging with Sprint in 2020, T-Mobile acquired the remaining two of Sprint's original ten affiliates, Shentel[60] and Swiftel.[61]
Below are companies which Sprint Corporation has acquired:
Mobile virtual network operators (MVNOs)
Sprint Corporation provided capacity on its CDMA2000, EVDO, and LTE wireless networks to mobile virtual network operators (MVNOs), which allowed other wireless providers to utilize its networks to offer its services. Sprint's prepaid brands operated using Sprint's networks, though they were not MVNOs, but rather wholly owned prepaid subsidiaries of the company.
Sprint Corporation allowed certain Sprint MVNOs to accept and activate old Sprint-branded phones through its "Bring Your Own Sprint Device" program which was established for Sprint's initiative to further reduce the number of cell phones that were thrown away each year. The program was also beneficial to MVNOs customers who did not want to pay subsidized prices.[96]
Sprint Corporation offered its MVNOs a program called the "Custom Branded Device Program", which gave MVNOs access to completely unbranded Android smartphones with no references to Sprint that the MVNO could then customize with its own branded apps and services through Sprint's Mobile ID and Mobile Zone products. Though these phones were free of Sprint branding, they were certified to run on Sprint networks.[97]
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Former American telecommunications company
Former Sprint World Headquarters Campus in Overland Park, Kansas, U.S.
Sprint Corporation was an American telecommunications company. Before being acquired by T-Mobile US on April 1, 2020, it was the fourth-largest mobile network operator in the United States, serving 54.3 million customers as of June 30, 2019.[2] The company also offered wireless voice, messaging, and broadband services through its various subsidiaries under the Boost Mobile and Open Mobile brands and wholesale access to its wireless networks to mobile virtual network operators.[3][4]
In July 2013, majority ownership of the company was purchased by the Japanese telecommunications company SoftBank Group.[5] Sprint used CDMA, EvDO and 4G LTE networks, and formerly operated iDEN, WiMAX, and 5G NR networks. Sprint was incorporated in Kansas.[6][7]
Sprint traced its origins to the Brown Telephone Company, which was founded in 1899 to bring telephone service to the rural area around Abilene, Kansas. In 2006, Sprint left the local landline telephone business and spun those assets off into a new company named Embarq, which later became a part of Lumen Technologies under the CenturyLink brand, which remains one of the largest long-distance providers in the United States.[8]
Until 2005, the company was also known as the Sprint Corporation, but took the name Sprint Nextel Corporation when it merged with Nextel Communications and adopted its black and yellow color scheme, along with a new logo. In 2013, following the shutdown of the Nextel network and concurrent with the acquisition by SoftBank, the company resumed using the name Sprint Corporation. In July 2013, as part of the SoftBank transactions, Sprint acquired the remaining shares of the wireless broadband carrier Clearwire Corporation that it did not already own.[9][10]
In August 2014, CEO Dan Hesse was replaced by Marcelo Claure.[11] In May 2018, Michel Combes replaced[12] Claure, and had been working to get Sprint's acquisition by its rival T-Mobile through regulatory proceedings.[13]
On April 1, 2020, Sprint Corporation completed their acquisition by T-Mobile US, which effectively made Sprint a subsidiary of T-Mobile until the Sprint brand officially discontinued in the beginning of August. Leadership, background, and stock changes happened immediately, with customer-side changes happening over time. The Sprint brand officially discontinued on August 2, 2020. Billing was already showing the T-Mobile brand, and on this date all retail, customer service, and all other company branding switched to the T-Mobile brand. New rate plans were also introduced as well for all new and existing customers from both companies, though all will be grandfathered into their current plan for at least 3 years should they choose not to switch to a new T-Mobile plan.[14][15][16][17][18] Customers with Sprint accounts were fully migrated to T-Mobile in the summer of 2023 officially discontinuing the Sprint brand.[19]
The Sprint Corporation traces its origins to two companies, the Brown Telephone Company and Southern Pacific Railroad.[20][21]
Brown Telephone Company was founded in 1899 by Cleyson Brown, to deploy the first telephone service to the rural area around Abilene, Kansas.[22] The Browns installed their first long-distance circuit in 1900 and became an alternative to the Bell Telephone Company, the most popular telephone service at the time.[citation needed] In 1911, C. L. Brown consolidated the Brown Telephone Company with three other independents to form the United Telephone Company.[23] C. L. Brown formed United Telephone and Electric (UT&E) in 1925. In 1939, at the end of the Great Depression, UT&E reorganized to form United Utilities.[23]
In 1964, Paul H. Henson became president of United Utilities; two years later, he was named chairman.[24] When Henson began working at the company in 1959, it had 575,000 telephones in 15 states and revenues of $65 million.[25][26][24] Henson is credited with creating the first major fiber optic network, having recognized it as a way to handle more calls and provide better quality sound.[24]
In 1972, United Utilities changed its name to United Telecommunications.[23] In 1980, United Telecommunications began working on a 23,000 mile fiber optic network for long-distance calls.[24] In 1989, this long-distance business became profitable for the company for the first time.[24] In 1990, Henson retired from United Telecommunications; by this time the company's revenues had grown to $8 billion.[24]
Sprint also traces its roots back to the Southern Pacific Railroad (SPR), which was founded in the 1860s as a subsidiary of the Southern Pacific Company (SPC). The company operated thousands of miles of track as well as telegraph wire that ran along those tracks. In the early 1970s, the company began looking for ways to use its existing communications lines for long-distance calling.[20] This division of the business was named the Southern Pacific Communications Company.[27] By the mid 1970s, SPC was beginning to take business away from AT&T, which held a monopoly at the time.[20] A number of lawsuits between SPC and AT&T took place throughout the 1970s; the majority were decided in favor of increased competition.[27] Prior attempts at offering long-distance voice services had not been approved by the U.S. Federal Communications Commission (FCC), although a fax service (called SpeedFAX) was permitted.[28]
In the mid-1970s, SPC held a contest to select a new name for the company.[29] The winning entry was "SPRINT", an acronym for "Southern Pacific Railroad Internal Networking Telephony".[29]
Virgin Mobile and Assurance Wireless
Virgin Mobile USA, L.P. was a wholly owned subsidiary of Sprint Corporation and provided nationwide, prepaid wireless voice, messaging, and broadband data products and services to customers in the contiguous United States under the Virgin Mobile, payLo, and "Assurance Wireless Brought to You by Virgin Mobile" brands. It operated as an MVNO and provided services to its customers via the Sprint-owned CDMA, EVDO, WiMAX, and LTE networks.[126]
Virgin Mobile USA, L.P. also offered lifeline telephone service subsidized by the U.S. Federal Communications Commission's Universal Service Fund under the "Assurance Wireless Brought to You by Virgin Mobile" brand. The program offers a free wireless phone and 250 free local and domestic long-distance voice minutes per month to eligible low-income customers in 31 states. End users do not receive a bill, nor are they required to sign a contract, and do not pay activation fees, recurring fees, or surcharges.[127]
Wireless products and services
Sprint offered a variety of wireless and mobile broadband products from a full range of manufacturers, that were preloaded with mobile operating systems including Google's Android or Apple's iOS. Sprint's partner device manufactures included Apple, BlackBerry, HTC, Kyocera, LG, Motorola, Samsung, Sharp, Sonim, and ZTE.
