Sprint - Nextel 2015 Annual Report Download - page 49

Table of Contents
our Wireless segment represented 31% of total voice revenues for the Successor year ended March 31, 2015 compared to 33% in the Successor year ended
December 31, 2013 .
DataRevenues
Data revenues reflect sales of data services, primarily Private Line and managed network services bundled with non-IP-based data access. Data
revenues increased $75 million , or 54% , for the Successor year ended March 31, 2015 compared to the Successor year ended December 31, 2013 primarily due to
comparing results for a full twelve-month period to a shortened Post-merger period. Offsetting the increase was a decrease as a result of customer churn, primarily
related to Private Line, which resulted in an overall decrease in data revenues when comparing the Successor year ended March 31, 2015 to the Combined year
ended December 31, 2013. Data revenues generated from the provision of services to the Wireless segment represented 41% of total data revenue for each of the
Successor year ended March 31, 2015 compared to 50% in the Successor year ended December 31, 2013 .
InternetRevenue
IP-based data services revenue reflects sales of Internet services, including MPLS, VoIP, SIP, and managed services bundled with IP-based data access.
IP-based data services increased $606 million , or 81% , for the Successor year ended March 31, 2015 compared to the year ended December 31, 2013 primarily
due to comparing results for a full twelve-month period to a shortened Post-merger period. Offsetting the increase was a decrease primarily due to fewer IP
customers, and in particular, the final transition to in-sourcing at one of our larger cable multiple system operators ( MSO's), which resulted in an overall decrease
in Internet revenues when comparing the Successor year ended March 31, 2015 to the Combined year ended December 31, 2013. In addition, revenue was also
impacted by a decline in the price of services sold to our Wireless segment and the elimination of backhaul associated with the decommissioning of the Nextel
platform as of June 30, 2013. Sale of services to our Wireless segment represented 12% of total Internet revenues for the Successor year ended March 31, 2015
compared to 11% in the year ended December 31, 2013 .
OtherRevenues
Other revenues, which primarily consist of sales of customer premises equipment, increased $42 million , or 131% , for the Successor year ended
March 31, 2015 compared to the year ended December 31, 2013 primarily due to comparing results for a full twelve-month period to a shortened Post-merger
period.
SuccessorThree-MonthTransitionPeriodEndedMarch31,2014andPredecessorThree-MonthPeriodEndedMarch31,2013
VoiceRevenues
Voice revenues remained flat for the Successor three-month transition period ended March 31, 2014 compared to the same Predecessor period in 2013 .
Overall rate declines were primarily due to the decline in prices for the sale of services to our Wireless segment which were offset by increases in international
hubbing volumes in the three-month transition period ended March 31, 2014 . Voice revenues generated from the sale of services to our Wireless segment
represented 25% of total voice revenues for the Successor three-month transition period ended March 31, 2014 compared to 28% for the Predecessor three-month
period ended March 31, 2013 .
DataRevenues
Data revenues reflect sales of data services, primarily Private Line and managed network services bundled with non-IP-based data access. Data
revenues decreased $32 million , or 34% , for the Successor three-month transition period ended March 31, 2014 compared to the same Predecessor period in 2013
as a result of customer churn, primarily related to Private Line. Data revenues generated from the provision of services to the Wireless segment represented 42% of
total data revenue for the Successor three-month transition period ended March 31, 2014 compared to 49% for the Predecessor three-month period ended
March 31, 2013 .
InternetRevenue
IP-based data services revenue reflects sales of Internet services, including MPLS, VoIP, SIP, and managed services bundled with IP-based data access.
IP-based data services decreased $89 million , or 21% , for the Successor three-month transition period ended March 31, 2014 compared to the same Predecessor
period in 2013 , primarily due to fewer IP customers, and in particular, the final transition to in-sourcing of one of our larger cable MSO's. Sale of services to our
Wireless segment represented 11% of total Internet revenues in both the Successor three-month transition period ended March 31, 2014 and the Predecessor three-
month period ended March 31, 2013 .
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