Category

Telecommunications

Sprint Still Paying for Nextel with Huge Loss, Canceled Dividend

By Mike Caggeso Associate Editor Sprint Nextel Corp. (S) posted a $29.45 billion fourth quarter loss, or $10.36 a share, as declining subscribers in an increasingly competitive market took its toll on the third-largest wireless carrier. Sales fell 5.7% to $9.85 billion. Total post-paid subscribed declined 683,000 compared to the 337,000 it lost in the […]

Read More…

Sprint Rumored to Undercut Rival Flat Rates, Price War on the Horizon

By Mike Caggeso Associate Editor Sprint Nextel Corp. (S) is expected to offer flat-rate calling plans – with prices that could undercut competing plans by up to 40%  – a strategic move that could rattle rival service providers and stoke a price war, Reuters reported. Sprint's actually late to the parade, as many rivals already […]

Read More…

Cell Phone Makers Add Features and Up the Ante in a High-Risk/High Return Market for Investors

By Mike Caggeso Associate Editor On April 3, 1973, Motorola, Inc. (MOT) engineer Martin Cooper – considered the father of the mobile phone – made the first cellular phone call. It wasn't to his wife, mother or children, but to rival Joel Engel, head of research at AT&T Bell Labs. "He tried to pretend it […]

Read More…

Sprint's Stock Drops on Lost Subscribers

From Staff Reports Shares of Sprint Nextel Corp. (S) suffered the worst decline in 25 years after the third-largest mobile phone company issued a report saying it lost 1.2 million subscribers in 2007 and planned to lay off 4,000 workers.  Sprint is eliminating almost 20% of its retail locations, as the company is still struggling […]

Read More…

Sprint Nextel Selects Telecom Insider Hesse as New CEO

By Jennifer Yousfi Managing Editor Earlier this week (Tuesday), Sprint Nextel Corp. (S) named Daniel R. Hesse, 54, as president and chief executive officer, effective immediately.  Hesse replaces Gary Forsee who resigned in October under growing pressure from the board of directors due to continued loss of subscribers and operational troubles resulting from the Sprint […]

Read More…

Motorola CEO Steps Down Amid Tanking Sales and Profits

By Mike CaggesoAssociate Editor Declines in sales and profit have forced Motorola, Inc. (MOT) Chairman and Chief Executive Officer Ed Zander to announce he is stepping down. President and Chief Operating Officer Greg Brown will be his replacement. Zander will step down as CEO effective Jan. 1 and will remain Chairman until the company's annual […]

Read More…

Canadian Telecom Telus Misses Third-Quarter Estimates, Even With a 28 Percent Gain in Profits

By William Patalon III Managing Editor Telus Corp. (TU), the Number Two telephone company in Canada, on Friday said that its third-quarter profits jumped 28%, thanks to increased customer spending on wireless phone services. But the results still fell short of analyst estimates because the increased wireless revenue couldn’t overcome the increase in lower-priced phone […]

Read More…

Garmin Takes 5% Stake in Tele Atlas, Company it is Pursuing in Hostile Bidding Battle

By William Patalon III Managing Editor Money Morning Garmin Ltd. (GRMN), the navigation device maker that’s locked in a bidding battle for digital mapmaker Tele Atlas NV (TLATF), has taken a 5.02% stake in that Dutch company, according to filings with the Dutch stock markets regulator AFM. AFM is The Netherlands’ version of the U.S. […]

Read More…

Garmin Beats Earnings Estimates, Launches $3.31 Billion Hostile Bid for Tele Atlas; Shares Plunge

By William Patalon III Managing Editor Money Morning The seesaw ride continues for shareholders of navigation-device heavyweight Garmin Ltd., (GRMN). The George Town, Cayman Islands-based company yesterday (Wednesday) announced that soaring sales sent its third-quarter profits rocketing 57% – easily eclipsing Wall Street forecasts. But the company's shares plunged $13.08 each – or nearly 11%  […]

Read More…

Would Buffett Give China Mobile a Thumbs Up or Down?

By Mike Caggeso Associate Editor China Mobile Ltd.'s (NYSE:CHL) 30% nine-month profit growth is just as impressive as it is worrying – to Warren Buffett at least. The world's largest mobile-phone operator credited rapid subscriber growth and gains in value-added businesses for its growth, which has handed investors 120% gains on the company's stock since […]

Read More…