Sprint reveals that it's no longer a majority owner of ClearwireAlex Wagner - Deputy Managing Editor, News Desk
Sprint today revealed that it no longer has a majority stake in Clearwire. Last year, Clearwire faced the possibility of defaulting on a loan, and as a result Sprint dropped its voting share of the company to below 50 percent to try and avoid any issues with its own debt. Thanks to some recent equity gained by Clearwire, Sprint's holdings have dropped below 50 percent, allowing it to reclaim its voting rights and bring them and its economic rights back in line.
Sprint and Clearwire have been buddy-buddy for quite a while. The two companies worked together to roll out WiMAX coverage in the past, and late last year they signed an agreement that'll give Sprint WiMAX access for the next several years. That deal will also see Sprint and Clearwire collaborating on the LTE front, with Sprint planning to use Clearwire's upcoming LTE network to bolster its own coverage.