The CEO of US telco Leap Wireless, which operates under the Cricket brand, has said that network and spectrum sharing could make a lot of sense for the operator.
In an interview with Fierce Wireless Doug Hutcheson said the style of network sharing…
The CEO of US telco Leap Wireless, which operates under the Cricket brand, has said that network and spectrum sharing could make a lot of sense for the operator.
In an interview with Fierce Wireless Doug Hutcheson said the style of network sharing pioneered in Europe had merit in relation to the US.
The CEO conceded that 60% of its spectrum assets are currently lying unused and cited that as another reason why sharing would be attractive to the operator.
Hutcheson said the telco’s spectrum portfolio was worth US$3bn and he did not rule out selling some of its frequencies, saying its focus is on benefitting its shareholders appropriately.
With consolidation kicking off in the US in the last few months it is unlikely that Leap will want to be left behind. In May it was reported that AT&T was interested in acquiring Leap, but that has since gone quiet and whether the Federal Communications Commission (FCC) would allow the Dallas-based giant to get any bigger is doubtful.
In light of the proposed T-Mobile USA/MetroPCS merger analysts have suggested that Leap may be vulnerable. MetroPCS offers similarly low-cost services to Leap but has a very different footprint. However T-Mobile’s spectrum licences cover similar areas to Leap’s and that will mean that MetroPCS will be able to directly compete with it and attempt to pick off its customers.
