May 07, 2007

Small Business Customers Benefit from Sprint's Expanded Cable Telephony Capabilities

Millennium Digital Media and Baja Broadband Join Existing Sprint

Cable Partners, Time Warner Cable and Suddenlink Communications, to

Capitalize on Wireline Growth Opportunities in Small Business Markets

RESTON, Va.--(BUSINESS WIRE)--May 7, 2007--Small business customers are the big winners as Sprint (NYSE:S), a market leader in residential cable telephony with VoIP services, today set in motion its expanded offering of cable telephony services designed to help cable companies benefit from increasing growth opportunities in the commercial services market. Sprint now provides VoIP services to 14 leading cable companies, supporting over 1.7 million residential customers on its network and, through its cable partners, reaches approximately 34 million homes passed.

Sprint's continued expansion into the cable market has created a revenue stream with strong growth potential. Sprint's annualized revenue from this business has now grown to $400 million. Sprint is now using the power of its telecom assets and communications expertise to expand its delivery of telephony solutions to include commercial services.

"Our vision for Sprint's cable strategy, whether it's wireline or wireless, is to deliver compelling, integrated services that provide unique value to customers," said Jim Patterson, vice president of Cable Solutions for Sprint. "Our expertise and experience in the residential VoIP services space sets the stage for our next foray into the commercial services market."

As part of enabling fixed line voice services for businesses, Sprint offers its cable customers:

    --  Wireline solution for the commercial market -- Sprint's small
        business solution leverages its proven residential CLEC
        service bureau and includes the following services: one to 12
        lines of unlimited local and long distance service; standard
        calling features including rotary hunting, caller ID to a
        deskset or PC, call waiting/call forwarding, etc.;
        business-class directory listings; business-class voicemail
        including call attendant, find me follow me, voicemail to
        email and other enhanced features; and support for business
        911 services.

    --  MSO marketing support -- Sprint's Marketing Support Program
        (MSP) is designed to meet specific needs of cable companies by
        tailoring programs to help them launch their commercial
        services. Campaign mapping, customer quote generation, and
        tracking tools enhance existing cable company programs with
        effective means to service the small business space. Sprint
        also collaborates with individual cable companies to develop
        targeted marketing programs and leverages its longstanding
        experience in the business market to help train the sales and
        support personnel of its cable partners.

Sprint already has agreements to provide cable telephony commercial services with Time Warner Cable and Suddenlink Communications. Sprint will provide commercial and residential cable telephony services to Baja Broadband and Millennium Digital Media:

    --  Baja Broadband, LLC, headquartered in Charlotte, N.C., owns
        and operates broadband cable systems serving over 67,000
        residential and commercial business customers in the West.
        Baja Broadband is a full-service broadband company that
        delivers an array of advanced digital video entertainment
        programming and high-speed data products to residential
        customers and full-service communication solutions to
        commercial customers. Sprint will offer residential and
        commercial telephony solutions for Baja Broadband homes in
        Utah, Nevada, New Mexico and Colorado.

    --  Millennium Digital Media -- Millennium Digital Media is a
        broadband services company that provides telecommunications
        services including voice, video and data to approximately
        130,000 residential and commercial customers in Maryland,
        Michigan, Washington and Oregon. The company is headquartered
        in St. Louis, Mo. Sprint will provide residential and
        commercial telephony solutions for Millennium Digital Media
        markets in Washington, Oregon and Michigan covering 184,000
        households passed.

In addition, Sprint continues to expand and strengthen its residential VoIP portfolio of cable partners by providing residential voice services to Antietam and MTC Cable:

    --  Antietam Cable provides cable television and high-speed
        Internet services to residents and businesses in Washington
        County, Md., with offices in Hagerstown, Md. Sprint provides
        residential telephony solutions for Antietam reaching
        approximately 52,000 households in Maryland.

    --  MTC Cable provides cable television and high-speed Internet
        service to residences in New York. Sprint provides residential
        telephony solutions for MTC Cable, reaching 5,000 households
        in New York.

In addition to providing cable telephony residential and commercial services, Sprint is bolstering its foothold in the commercial market by leveraging network capacity provided by the cable companies. Sprint buys access to transport traffic from mobile cell sites to its backbone network and provides the "last mile" to large business customers.

"Leveraging the cable networks is a win-win proposition for Sprint and our cable partners," said Patterson. "By purchasing capacity on a cable company's network, we reduce our access costs and it creates a new source of free cash flow for our cable partner."

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.

    CONTACT: Sprint Nextel
             Media Contact:
             Melinda Tiemeyer, 913-794-1089

    SOURCE: Sprint Nextel

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