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4G/3G/WiFi

Sprint Losses Mount on 4G Upgrades & iPhones

Sprint Corp. (NYSE: S) attributed its net loss of US$863 million for the first quarter of 2012 partly to the planned shutdown of its Nextel iDEN network by 2014. (See Sprint Sets Due Date for iDEN's LTE Rebirth .)

The operator said Wednesday morning that the loss "includes depreciation of approximately $543 million ... primarily due to accelerated depreciation related to the expected shut down of the Nextel platform." The results also include a one-time net benefit of $170 million related to Sprint ending its spectrum-hosting deal with LightSquared . (See Sprint Scuttles LightSquared Deal .)

The company said it sold 1.5 million iPhones in the quarter. This resulted in increased wireless equipment net subsidies of approximately $1.6 billion compared with about $1.1 billion in the year-ago period, and roughly $1.7 billion in the fourth quarter of 2011.

Sprint recorded a first-quarter diluted net loss of 29 cents per share on revenues of $8.73 billion. This compares to a net loss of $439 million and a diluted net loss of 15 cents per share, on revenues of $8.31 billion, in the first quarter of 2011.

Analysts polled by Bloomberg had been expecting worse: They were anticipating a loss of 41 cents per share on revenues of $8.7 billion.

— Dan Jones, Site Editor, Light Reading Mobile

joset01 12/5/2012 | 5:35:14 PM
re: Sprint Losses Mount on 4G Upgrades & iPhones

CEO Dan Hesse: WiMax coming to Boost and Virgin Mobile... sometime... more details coming apparently.

joset01 12/5/2012 | 5:35:14 PM
re: Sprint Losses Mount on 4G Upgrades & iPhones

On the call:


Sprint is saying it is worth paying upfront for new iPhone users if they stay on the network long-term

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joset01 12/5/2012 | 5:35:13 PM
re: Sprint Losses Mount on 4G Upgrades & iPhones

Network vision costs to double in Q2. Sprint spent $315M on NV in Q1 and $250M on increasing data capacity for NV &amp; legacy.

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kaps 12/5/2012 | 5:35:10 PM
re: Sprint Losses Mount on 4G Upgrades & iPhones

Would love to see them try out a data-only plan, maybe partner with Microsoft and Skype? A Windows WiMAX phone with no voice plan... say for $50 a month all in?


I mean -- that WiMAX network is going to get pretty lonely in the next year when Sprint contracts start dying off. Why not take some chances and see what happens?

kaps 12/5/2012 | 5:35:10 PM
re: Sprint Losses Mount on 4G Upgrades & iPhones

Would love to see them try out a data-only plan, maybe partner with Microsoft and Skype? A Windows WiMAX phone with no voice plan... say for $50 a month all in?


I mean -- that WiMAX network is going to get pretty lonely in the next year when Sprint contracts start dying off. Why not take some chances and see what happens?

sarahthomas1011 12/5/2012 | 5:35:10 PM
re: Sprint Losses Mount on 4G Upgrades & iPhones

Seems like a smart move to me. Prepaid is big business for Sprint, and it could use more capacity on its CDMA nework for iPhones.

Chhilar 12/5/2012 | 5:35:09 PM
re: Sprint Losses Mount on 4G Upgrades & iPhones

Would love a data only plan. &nbsp;That is something that would make me switch carriers.

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