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Sprint officially ends LightSquared LTE contract

Posted: , by Victor H.

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Sprint officially ends LightSquared LTE contract
Just as everyone expected, Sprint has officially announced its shutting down cooperation with 4G LTE wannabe provider LightSquared. The carrier will return payments of $65 million to LightSquared.

“Sprint has been and continues to be supportive of LightSquared’s business plans and appreciates the company’s efforts to find a resolution to the interference issues impacting its ability to offer service on the 1.6 GHz spectrum. However, due to these unresolved issues, and subject to the provisions of the agreement, Sprint has elected to exercise its right to terminate the agreement announced last summer,” Sprint said in an official statement.

The nation’s third-largest carrier signed a huge, 15-year deal with LightSquared, hoping to use the provider for its LTE rollout in June 2011. However, LightSquared faced interference issues with the bands it uses. The Federal Communications Commission question that LTE provider on those issues and at the danger of losing valuable resources and time, Sprint brought up clauses in the agreement allowing it to end the deal prematurely.

If LightSquared solves the interference issue, Sprint made it clear that it’s willing to cooperate with it in the future.

LightSquared focus on the negative impact this will have for the American population which will be deprived of LTE access. 

“For LightSquared, Sprint’s decision will enhance our working capital and provide more flexibility,” interim LightSquared co-COO Doug Smith said in a statement.

This won’t affect Sprint’s plans to launch its first 4G LTE markets mid-year.

source: AllThingsD

Press Release

21 Comments
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posted on 16 Mar 2012, 09:20 6

1. atheisticemetic (Posts: 377; Member since: 18 Dec 2011)


sprint...'the no network'

posted on 16 Mar 2012, 16:59 3

12. dvancleave (Posts: 32; Member since: 19 Jul 2010)


More like the "Now What Network". LOL I really liked their customer service and pricing. Their coverage just wasn't on par with Verizon and AT&T. And their data speeds actually got worse when they added the iPhone. Not to mention the continual empty promises of hope and change on the horizon. Wait.... That hope and change thing sure sounds familiar.

posted on 16 Mar 2012, 09:27 1

2. knights4life03 (Posts: 131; Member since: 09 Jun 2011)


Omg my carrier is so ***!!!

posted on 16 Mar 2012, 09:40 1

3. dcgore (Posts: 207; Member since: 24 Feb 2012)


Now Sprint will have to put more money into clearwire's L:TE efforts.

posted on 16 Mar 2012, 09:54 3

4. shnibz (Posts: 161; Member since: 18 Sep 2011)


Sprint suuuucks. I was happy with them for years but so glad to jump ship last Dec.

posted on 16 Mar 2012, 10:12 2

5. Contreramanjaro (Posts: 153; Member since: 04 Dec 2011)


Their LTE will be fine. It will take a bit longer than the deal with LightSquared but will be better in the end. In my opinion, all US carriers suck but Sprint is one of the less evil corporations it seems. Yes, I'm one of those weirdos that support companies based on ethics, crazy me.

Sprint isn't so bad. I just got a Sprint smartphone 5 days ago and have already used over 700Mb of data. I realize now that I would blow through most data caps.

posted on 16 Mar 2012, 10:35 1

6. shnibz (Posts: 161; Member since: 18 Sep 2011)


just watch your bill Contreramanjaro....I was on the same family plan for shares unlimited data plan for 4.5 years and my bill started out at about $110 a month and by the end it was like $165 a month and I never changed a thing!

posted on 16 Mar 2012, 12:24 3

8. iDevice (Posts: 12; Member since: 16 Mar 2012)


ive been with sprint for 4 years... i have a family plan and i have never paid more than $140 with tax... there is no such thing as $110 family plan!!

posted on 16 Mar 2012, 13:00 1

10. atheisticemetic (Posts: 377; Member since: 18 Dec 2011)


there was......

posted on 16 Mar 2012, 17:13 1

13. Contreramanjaro (Posts: 153; Member since: 04 Dec 2011)


I don't want to say what we pay but we have never had the price go up in the 3 years we've been on this plan, with smartphones. I'm the only one that just got one. If you have a magically increasing bill, you've done something that costs more, international maybe, or games with recurring charges. I'd check it out if I were you.

posted on 21 Mar 2012, 22:02

20. shnibz (Posts: 161; Member since: 18 Sep 2011)


Idevice the initial price was more but my wife got a discount through being a Target employee.

posted on 19 Mar 2012, 23:53

19. wumberpeb (Posts: 445; Member since: 14 Mar 2011)


Shnibz, the only way your bill would have gone up is if someone upgraded or added a new line with a smartphone, forcing everyone on the family plan to change as well. Since you had the plan for 4-5 years, you were likely on an older plan that wasn't compatible with more modern smart phones. Either if a line or two was added ($20 a month per 3rd thru 5th line), the mere $1 raise in insurance last year, or other lines upgraded to smart phones ($10 premium data add-on). It doesn't go up unless changes were made...

Maybe someone broke a phone and did a service swap to a temporary smartphone, ruining the grandfathered $10 premium data fee waiver. Even after the replacement device goes back on, you cant get back off the $10 buck add on

posted on 21 Mar 2012, 22:06

21. shnibz (Posts: 161; Member since: 18 Sep 2011)


I never handled the bill personally, I just know it was going up. And we never added a line. I appreciate all the the input dudes but its too late now, we went to Verizon because their 4g is everywhere here is SE Virginia! Pretty awesome

posted on 16 Mar 2012, 12:54 1

9. -box- (Posts: 3881; Member since: 04 Jan 2012)


Sprint will also kick users off the network if they use an excessive amount of data... I had a friend who had been with sprint since the Nextel acquisition, was a great customer, got 10 Evo 4Gs for his business and most were being used very heavily, so sprint closed his account but waived his termination fees. Read those terms and conditions carefully...

posted on 16 Mar 2012, 13:19 2

11. DonkeySauce (Posts: 161; Member since: 03 Dec 2011)


There had to be a catch there. I have worked for Sprint for nearly a decade and never seen a customer's account cancelled for data usage. It was more likely that the phones had exsessive off network roaming/data usage, which if you average more than 50% total usage, it costs Sprint more than they make on you... or he was doing something sketchy...

posted on 16 Mar 2012, 17:18

14. Contreramanjaro (Posts: 153; Member since: 04 Dec 2011)


They can't get too mad. I wouldn't call it abuse. When there is WiFi, I use it. I just got a little app happy the first couple days I had my phone. I also stream video and ride the city bus to class so I use the phone all the time. Also, to be honest, we have 4 phones with unlimited data on our plan and two of those never cross the 2MB mark. We're provide some good profit for the now network.

The only thing I worry about is I got the design 4G and it can roam on GSM. Sometimes in a building that's all you get. I'm not doing heavy data but I don't like surprises. I'm keeping a close eye on my bill for the first few weeks.

posted on 17 Mar 2012, 16:38 1

17. IcanBEATali (Posts: 27; Member since: 24 Sep 2009)


It cant roam on GSM in the states. TMobile and ATT are blocked. You will only be roaming on CDMA partners like every other phone on Sprint.

posted on 16 Mar 2012, 18:16 1

15. EclipseGSX (Posts: 1655; Member since: 18 Oct 2011)


Yea... 10 free EVOS then they close the acct? Something is very fishy with your story. Someone screwed up.

posted on 16 Mar 2012, 10:44 1

7. dahaka17 (Posts: 61; Member since: 08 Jun 2010)


thats what happens when you add a bunch of 4g phones, either that or you were going over

posted on 17 Mar 2012, 08:56 1

16. cellgeek82 (Posts: 518; Member since: 20 Dec 2009)


Sprint is like our economy, sometime they make you smile, other time they make you wanna dive into a fallout shelter in the fetal position.

posted on 19 Mar 2012, 23:45

18. wumberpeb (Posts: 445; Member since: 14 Mar 2011)


+1 for this...lol, brilliant

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