Sprint Bets on WiMax

Sprint Nextel, whose Q2 earnings were not pretty, is expected to put its weight behind deploying long-range high-speed internet technology WiMax, reports WSJ. he move would mark a significant win for backers of the new technology, such as Intel and Motorola, while it would be a setback for Qualcomm, which is behind a rival technology.

Analysts say building a nationwide WiMax network could cost Sprint between $1 billion and $4 billion, a hefty sum for a company that is already struggling to meet Wall Street's expectations.
The company said in the past that such a network would be designed to accommodate heavy data-usage activities like video streaming on cellphones and laptops without clogging up the phone networks. The company wants to tap into an entirely new market by eventually connecting consumer electronics devices such as videocameras and MP3 players to the Internet for the first time, the story said.
The situation is not all bad for Qualcomm, however. Sprint and other cellular operators will continue to use its EVDO wireless broadband technology even if they roll out WiMax alongside it, analysts say.