Sprint - Nextel 2012 Annual Report Download - page 7

Table of Contents
affiliations under commercial arrangements with third - party affiliates (Affiliates) and roaming on other providers' networks.
In 2009, our Sprint platform subscribers in certain markets began to have access to Clearwire's 4G WiMAX network through an MVNO
wholesale arrangement that enables us to resell Clearwire's 4G wireless services under the Sprint brand name. The services supported by 4G WiMAX
give subscribers with compatible devices high
- speed access to the Internet.
In December 2010, we announced Network Vision, a multi
- year network infrastructure initiative intended to provide subscribers with an
enhanced network experience by improving voice quality, coverage, and data speeds, while enhancing network flexibility, reducing operating costs,
and improving environmental sustainability through the utilization of multiple spectrum bands onto a single multi
- mode base station. In addition to
implementing these multi
- mode base stations, this plan encompasses next - generation push - to - talk technology with broadband capabilities and the
integration of multi - mode chipsets into smartphones, tablets and other broadband devices, including machine - to - machine products. Through the
deployment of Network Vision, we are migrating to a single nationwide network allowing for the consolidation and optimization of our 800 megahertz
(MHz), 1.9 gigahertz (GHz) spectrum, as well as other spectrum, into multi
- mode stations allowing us to repurpose spectrum to enhance coverage,
particularly around the in - building experience. The multi - mode technology also utilizes software - based solutions with interchangeable hardware to
provide greater network flexibility, which has allowed for the deployment of LTE.
Our Nextel platform, which is expected to be shut - down by June 30, 2013, is an all - digital packet data network based on iDEN wireless
technology provided by Motorola Solutions, Inc. We are the only national wireless service provider in the United States that utilizes this technology.
Generally, Nextel platform devices are not enabled to roam on wireless networks that do not utilize iDEN technology. As a result of our plan to shut
-
down our Nextel platform, we will continue to pursue the retention of these customers through competitive offerings on the Sprint platform.
Sales, Marketing and Customer Care
We focus the marketing and sales of wireless services on targeted groups of retail subscribers: individual consumers, businesses and
government.
We use a variety of sales channels to attract new subscribers of wireless services, including:
We market our postpaid services under the Sprint® brand. We generally offer these services on a contract basis typically for a two
- year
period, with services billed on a monthly basis according to the applicable pricing plan. In January 2013, we introduced a Sprint branded no contract
service, Sprint As You Go. As we shut
- down the Nextel platform, our efforts will continue to pursue the recapture of Nextel platform subscribers;
however, prospectively we will continue our efforts to focus on profitable growth through service provided on an enhanced wireless network on the
Sprint platform. We market our prepaid services under the Boost Mobile, Virgin Mobile, and Assurance Wireless brands as a means to provide value
-
driven prepaid service plans to particular markets. Our wholesale customers are resellers of our wireless services rather than end - use subscribers and
market their products and services using their brands.
Although we market our services using traditional print and television advertising, we also provide exposure to our brand names and
wireless services through various sponsorships, including the National Association for Stock Car Auto Racing (NASCAR®
) and the National
Basketball Association (NBA). The goal of these marketing initiatives is to increase brand awareness and sales.
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direct sales representatives whose efforts are focused on marketing and selling wireless services primarily to mid - sized to large
businesses and government agencies;
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retail outlets owned and operated by us, that focus on sales to the consumer market as well as third - party retailers;
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indirect sales agents that primarily consist of local and national non - affiliated dealers and independent contractors that market and sell
services to businesses and the consumer market, and are generally paid through commissions; and
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subscriber - convenient channels, including web sales and telesales.