Multimillion Dollar Investment in IP and MPLS Enhances National and Multinational Businesses’ Capabilities
RESTON, Va.--(BUSINESS WIRE)--May 10, 2007--Internet Protocol (IP) based wireline services are growing in importance to business customers that need to enable dispersed, mobile workforces and that are seeking value and added flexibility from their technology solutions. Sprint Nextel (NYSE: S) continues to invest significantly to enhance its wireline network, which has global reach through the company’s powerful IP and MPLS platform. During the 2006 and 2007 time period, Sprint expects to have invested approximately $1.4 billion in its wireline network. This year’s wireline investment is aimed at enhancing Multi-Protocol Label Switching (MPLS) Virtual Private Network (VPN) service, voice-over-IP (VoIP) capabilities, IP transport solutions, network footprint/Global IP expansion and increased packet access capabilities such as Ethernet. Investments will also be made to enhance managed network and security services, as well as fixed mobile convergence.
"The Sprint IP network is designed to meet customer needs for highly flexible, seamless global solutions," said Mark Angelino, president of sales and distribution for Sprint. "Our customers understand our IP convergence strategy. By continuing to invest in its wireline network, Sprint is providing businesses efficient ways to communicate."
Sprint investment in IP service capabilities supports the company’s long-standing commitment to provide national and multinational businesses with wide area networking (WAN) services that meet the needs of customers transitioning from legacy data solutions to more capable IP- and MPLS-based solutions. Sprint also continues to meet the needs of businesses by providing IP and MPLS services outside of the United States and is capable of reaching 137 countries. Sprint expects to further enhance its facilities-based footprint outside the United States to include new cities in Canada, Mexico and South America as well as additional facilities in Europe and Asia. Multinational customers in these areas can benefit from the service flexibility and seamlessness of Sprint IP offerings and the improved capabilities brought about by leveraging those solutions.
In 2006, Sprint experienced above-market growth to its IP-based services and expects to see continued above-market growth this year, as it continues to leverage the existing feature strength and customer-focused flexibility of its Global IP network. In addition to serving business customers, the Sprint IP network is a critical asset in executing on other Sprint initiatives, such as wireless traffic backhaul and the growing cable VoIP business; IP is Sprint’s core network for enabling powerful products and services.
About Sprint Nextel
Sprint Nextel offers a comprehensive range of wireless and wireline communications services bringing the freedom of mobility to consumers, businesses and government users. Sprint Nextel is widely recognized for developing, engineering and deploying innovative technologies, including two robust wireless networks serving 53.6 million customers at the end of the first quarter 2007; industry-leading mobile data services; instant national and international walkie-talkie capabilities; and a global Tier 1 Internet backbone. For more information, visit www.sprint.com.
This news release includes "forward-looking statements" within the meaning of the securities laws. The statements in this news release regarding the business outlook, expected performance, expected investments, plans for the development and deployment of a 4G network and related infrastructure, as well as other statements that are not historical facts, are forward-looking statements. The words "estimate," "project," "forecast," "intend," "expect," "believe," "target," "providing guidance" and similar expressions are intended to identify forward-looking statements. Forward-looking statements are estimates and projections reflecting management’s judgment based on currently available information and involve a number of risks and uncertainties that could cause actual results to differ materially from those suggested by the forward-looking statements. With respect to these forward-looking statements, management has made assumptions regarding, among other things, customer and network usage, customer growth and retention, pricing, development, deployment and operating costs, the timing of various events and the economic environment.
Sprint Nextel believes these forward-looking statements are reasonable; however, you should not place undue reliance on forward-looking statements, which are based on current expectations and speak only as of the date of this release. Sprint Nextel is not obligated to publicly release any revisions to forward-looking statements to reflect events after the date of this release. Sprint Nextel provides a detailed discussion of risk factors in periodic SEC filings, including its annual report on Form 10-K for the year ended December 31, 2006.
CONTACT: Sprint Nextel Media: IP and MPLS: Stephanie Greenwood, 913-794-3658 email@example.com or Network Capabilities: Jackie Bostick, 913-794-3045 firstname.lastname@example.org SOURCE: Sprint Nextel