Sprint Nextel is partnering with Clearwire, a broadband technology company, to build a nationwide WiMax network for cell phones, both companies announced Thursday.
WiMax is a wireless technology that offers high rates of data transfer and a long transmission reach.
The Sprint Nextel and Clearwire mobile WiMax network is set to have speeds comparable to wireline broadband, the type of Internet connectivity commonly accessed by cable lines. Users will be able to use the network for wireless activities such as downloading media files for full-length movies and conducting video conferences.
Pending government approval, the deal is expected to be finalized within 60 days.
The two companies predict that together, by the end of 2008, they will offer mobile WiMax network access to about 100 million people. Eventually, Sprint Nextel plans to offer WiMax coverage to 185 million users in its 50 largest market areas in the United States, while Clearwire plans to give coverage to an additional 115 million people.
The deal will result in a faster deployment of the next-generation technology than either company could have achieved individually. The companies also plan to share in the commercialization and joint marketing of the network under one common brand, according to the joint statement.