Clearwire Partners with DIRECTV and EchoStar

Here's an interesting development, as we see broadband connectivity and content become inextricably linked in the race for the triple-play (TV, phone and Internet). It's a very smart move, as it gives DIRECTV a new high-end Internet offering (Internet via satellite is a niche play - it's good when you've got no other options, but it can never be competitive against other technologies in regular markets) and significantly broadens Clearwire's portfolio, allowing them to compete with incumbent content providers in their footprint.

KIRKLAND, Wash.--(BUSINESS WIRE)----Clearwire Corporation (NASDAQ:CLWR) announced today distribution agreements with DIRECTV (NYSE:DTV) and EchoStar Communications Corporation (NASDAQ:DISH). The distribution agreements enable both satellite companies to offer Clearwire's high-speed Internet service to their customers and contemplate that Clearwire in turn will be able to offer the video services of one or both satellite companies to its customers. This is expected to enable each of the three companies to offer high-speed Internet, video and voice in all current and future Clearwire markets. The launch is planned for later this year. Under the terms of the distribution agreements, DIRECTV and EchoStar will have access to Clearwire's wireless high-speed network,and will be able to market a bundle that includes Clearwire's high-speed Internet services to their residential customers. DIRECTV and EchoStar will also have the ability to sell Clearwire's branded services on a stand-alone basis. Similarly, the agreements call for Clearwire to be able to sell DIRECTV and EchoStar satellite video services. "We're pleased to partner with these two satellite companies as they both share our commitment to offering a superior customer experience by enabling customers to enjoy the benefits of unwired services," said Perry Satterlee, Clearwire president and chief operating officer. "By expanding the reach of our services through DIRECTV and EchoStar, and by incorporating direct-to-home satellite video services in our own distribution channels, we believe we have an opportunity to significantly expand our business opportunity." "Being able to offer services on the Clearwire network will give our customers another high-quality option to subscribe to broadband services with DIRECTV's video offerings," said Bruce Churchill,president of New Enterprises, DIRECTV. "By choosing this bundle option, DIRECTV customers will now be able to enjoy Clearwire's fast,reliable and secure wireless broadband network that works great at home and on the go." "EchoStar is committed to providing the best quality and latest incutting-edge digital programming, and with Clearwire we continue that commitment by offering a next-generation wireless broadband technology," said Nolan Daines, senior vice president, Strategic Initiatives, EchoStar. "Our ability to offer Clearwire's broadband service is a strong competitive alternative that we believe will help increase our subscriber base."