Competitors Will Bundle Wireless, 'That is Good For Us': CEO Sprint Nextel
With 1.7 million AppleiPhones 4 sold in just three days, investors worry how will Sprint Nextel compete.
"What distinguishes the phones we have out there right now is that they work on the 4G network," Dan Hesse, CEO of Sprint Nextel, told CNBC today.
Sprint's 4G strategy revolves around their 56 percent stake in Clearwire, which builds and operates next generation wireless broadband networks.
In addition, Sprint has aligned interests in that they share the same competitors—Verizon and AT&T.
Hesse believes its competitors will bundle a lot more wireless in with there offers and "that is good for us, as they compete with the video bundle," Hesse said.
Sprint's 4G technology means mobile video. According to Hesse this new technology allows a bit at "roughly" one-fifth the cost on 4G as opposed to 3G because of the speed.
Each generation—1G analog, 2G digital, 3G broadband, 4G mobile video—"gets faster and more coast effective to produce more volume," Hesse concluded.
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