USb
: Leap Wireless and Alaska Native Broadband 1 License, LLC announced
the signing of three-year agreements with Lucent Technologies (NYSE:
LU) collectively valued at approximately $125 million, providing Leap
and ANB with third-generation (3G) CDMA2000® 1xEV-DO technology
in new ANB markets and existing Leap markets across the United States.
Under the terms of the agreements, Leap's operating subsidiary, Cricket
Communications, Inc. has committed to purchase $119 million of equipment,
while ANB has committed to $6 million.
Leap expects to
begin deploying CDMA2000® 1xEV-DO technology in various existing
markets and ANB expects to provide this technology in its new markets
Colorado Springs, Colorado; El Paso, Texas and Las Cruces, New Mexico
in 2006. The technology will enable Leap and ANB to provide their
customers with new mobile high-speed data services such as Internet
access, information and location-based services, and high-quality
music downloads at speeds of up to 2.4 Megabits per second.
"We worked
closely with Lucent on our plans to upgrade our markets and expand
our business. We are impressed with Lucent's technical options, which
are in line with our business objective of providing our customers
with high-quality, high-value mobile services at low cost," said
Glenn Umetsu, chief technical officer for Leap.
Lucent will supply
its Flexent® CDMA2000 base stations in ANB's new and Leap's existing
markets and also upgrade Leap's existing Lucent-supplied base stations
to support EV-DO technology. Lucent also will provide its Flexent®
Packet Switch, which lays the foundation for Leap and ANB to introduce
VoIP (Voice over Internet Protocol) services over their wireless networks.
Lucent Worldwide Service will provide installation, engineering, training
and technical support.
"We are
pleased to be able to work with innovative providers, like Leap Wireless,
that are implementing our leading-edge mobile high speed data and
full network solutions," said Gerry Cafaro, vice president of
sales for Lucent Technologies.