Cox's Bid = The End of Pivot?

Posted by: Olga Kharif on December 3, 2007

More of Sprint’s ventures could be unraveling soon. One sign: Today, cable company Cox announced that it will bid for wireless spectrum in the upcoming 700 Mhz auction.

Cox’s participation in the auction could be construed as a move against Sprint, with whom Cox currently has a wireless joint venture. Cox resells Sprint’s wireless service to its cable customers under a brand called Pivot.

By entering the wireless spectrum auction, Cox could be signaling that it wants to build its own wireless network -- and, essentially, to compete against Sprint.

So it's not just Google and Frontline that threaten incumbents AT&T, Verizon Wireless and Sprint. A company like Cox could pose as big a competitive threat. For Sprint, the threat will be all the greater, as this move means that its Pivot service -- worth tens of million of dollars in investments -- may never get off the ground.

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Bloomberg Businessweek writers Peter Burrows, Cliff Edwards, Olga Kharif, Aaron Ricadela, and Douglas MacMillan, dig behind the headlines to analyze what’s really happening throughout the world of technology. Tech Beat covers everything from tech bellwethers like Apple, Google, and Intel and emerging new leaders such as Facebook to new technologies, trends, and controversies.



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