Sprint Nextel is talking with South Korean company SK Telecom about forming a partnership. The two companies would share information about mobile phones and other technology. Sprint and SK Telecom are also discussing the possibility of SK Telecom becoming a minority investor in Sprint. Last year, Sprint turned down a $5 billion offer from SK Telecom and Providence Equity Partners, which were interested in buying a minority stake of the American service provider.
Sprint’s chief executive Daniel Hesse seems to be using a strategy of forming partnerships with other entities in an attempt to boost his company’s slumping subscription rate. This spring Sprint entered into a high-speed wireless venture with Clearwire, Google, Intel, Comcast and Time Warner. Sprint is hoping this partnership will give it an edge over AT&T’s and Verizon’s high-speed service.
Ever since Sprint and Nextel merged, there have been troubles. The two networks had teething problems with equipment compatibility that frustrated many subscribers. There are many customer service horror stories which have caused subscribers to drop the service and scared new subscribers away from Sprint Nextel. Perhaps some high-tech partnerships will help the public forgive past troubles with the allure of new technology.