Sprint speeds up wireless network

Mobile Internet, The, Dec, 2004

Sprint has awarded wireless equipment contracts totaling $3 billion to Lucent, Motorola, and Nortel to better compete in a sector reshaped by acquisitions and spectrum swaps.

The multi-year renewals cover new switching and radio hardware and software for cell sites and deployment of Sprint's Evolution-Data Optimized (EV-DO) wireless high-speed data network deployment.

"While we looked at other vendors, the reality was that our current partners came through for us," said Bob Azzi, Sprint's vice president of network engineering.

The Overland, Kansas, carrier plans to provide EV-DO wireless service at peak data rates of up to 2.4Mbps to major U.S. markets in 2005. Cities involved in the launch will likely be announced early next year.

Approximately $1 billion of the $3 billion will be used to upgrade Sprint's network to EV-DO technology, which will accelerate mobile device data speeds up to 10 times faster than on today's network.

The agreement includes options for upgrades to next-generation wireless broadband standards, which are still developing. "We're not at a point where we need to commit to the next standard," Azzi said. "These deals are great to get us into position."

The contracts are a boost for network gear makers who have been waiting for mobile carriers to overhaul their networks to handle faster speeds and more data.

Lucent, of Murray Hill, New Jersey, will upgrade existing base stations to enhance network capacity and will deploy softswitches. Lucent said it expects to amass $1.5 billion over the life of the deal.