|WiMAX gets high dollar infusion from Intel|
Posted: 07-Jul-2006 [Source: Intel]
[Intel moves to expand mobile WiMAX into Centrino Mobile Technology and invests $600 million in Clearwire to promote WiMAX availability across North America. Motorola acquires Clearwire subsidiary NextNet Wireless and will provide equipment for Clearwire's global networks.]
Kirkland, WA, Santa Clara, CA and Schaumburg, IL -- Clearwire Corporation, a high-speed wireless broadband services provider founded by Craig McCaw, today announced a series of transactions with Intel Capital, the venture capital investment arm of Intel Corporation, Motorola and Motorola Ventures to accelerate the development and deployment of portable and mobile WiMAX networks based on the IEEE 802.16e-2005 standard. The transactions include Intel Capital's investment of $600 million as part of a $900 million private financing round and Motorola's acquisition of Clearwire's subsidiary NextNet Wireless, a leading provider of OFDM-based non-line-of-sight (NLOS) wireless broadband infrastructure equipment. Motorola Ventures is also participating in the financing round.
Following closing of the transactions, Motorola will supply wireless broadband equipment for Clearwire's existing and future networks globally. To hasten the proliferation of mobile WiMAX in PC clients, Intel will work to enable the inclusion of WiMAX chipsets in next generation mobile computing platforms. All three parties will contribute significant research and development resources to evolve NextNet Wireless' pre-WiMAX technologies.
As part of the transaction, Motorola will acquire Clearwire's subsidiary NextNet Wireless, one of the industry's leading fixed and portable NLOS wireless broadband equipment suppliers, for an undisclosed amount. NextNet's wireless access products are currently deployed by carriers on five continents. Acquiring NextNet broadens Motorola's global portfolio of solutions to serve the rapidly growing need for wireless broadband equipment.
"Collaborating with Intel and Motorola significantly advances our vision for fixed, portable and mobile wireless broadband services," said Craig McCaw, founder, chairman, and co-CEO of Clearwire. "Wireless broadband networks will enable the creation and delivery of differentiated services and applications that enhance the way people communicate and experience the Internet."
"These agreements mark a significant milestone for Clearwire," said Ben Wolff, co-CEO of Clearwire. "We believe that there is strong demand for wireless broadband connectivity that is simple, fast, reliable and affordable. Working together with Intel and Motorola to deploy mobile WiMAX technology will provide us with the benefits of a standards-based platform, which will further enhance our efforts to address this demand."
Closing of the transactions is subject to regulatory approval and certain closing conditions.
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