Clearwire 2007 Annual Report Download - page 16

partners in making these determinations. As of December 31, 2007, we, through our consolidated subsidiaries and
equity investees, offered our services in the following countries:
Country
Approximate
Percentage Owned(1)
Subsidiaries
Belgium (Brussels and Ghent) .................................... 100.0%
Ireland (Dublin) .............................................. 97.6%
Spain (Seville)................................................ 100.0%
Equity Investees
Denmark(2).................................................. 38.2%
Mexico(3) ................................................... 29.2%
(1) Approximate percentage owned in European countries assumes 100% ownership of Clearwire Europe B.V., or
Clearwire Europe, a direct subsidiary of Clearwire Corporation through which we conduct our European
operations. A group of consultants hold approximately two percent of the current share capital of Clearwire
Europe, pending an exchange of interest in Clearwire Europe B.V. The interest held by these consultants may be
diluted if we or any third parties make additional equity contributions to Clearwire Europe unless the
consultants exercise preemptive rights to make their pro-rata share of such contributions.
(2) Services offered under the Clearwire brand and trademark.
(3) Services similar to ours offered under the MVS Net and E-go brand.
As of December 31, 2007, we had approximately 44,000 subscribers in Belgium, Ireland and Spain.
Sales and Marketing
Our marketing efforts include reliance on a full range of integrated marketing campaigns and sales activities,
including advertising, direct marketing, public relations and events to support our direct sales teams, company-
owned retail stores, mall and mobile kiosks, authorized representatives and resellers.
We believe we have a strong local presence in our markets, which enhances our ability to design marketing
campaigns tailored to the preferences of the local community. We advertise across a broad range of media, including
print, billboards, online, and radio and television broadcast media with television only recently introduced
selectively in some of our larger markets. We also conduct community awareness campaigns that focus on
grass-roots marketing efforts, and host local community events where potential subscribers can experience our
service. Our direct marketing efforts have included direct mailings and delivering door hangers to potential
subscribers in our network coverage area.
We use multiple distribution channels to reach potential subscribers, including:
Direct. We have hired salespeople to sell our services directly to consumers. Our salespeople also set up
mobile kiosks at local community and sporting events and near retail establishments or educational institutions
to demonstrate our services. Each of these salespeople carries a supply of modems, so that a new subscriber can
activate his or her account and receive equipment while at the mobile kiosk. As of December 31, 2007, we
employed approximately 520 salespeople in the United States. We generally compensate these employees on a
salary plus commission basis. Our direct sales teams are expanding their focus to include acquiring small and
medium sized business accounts as subscribers, particularly with the introduction of the PC cards.
Indirect. Our indirect sales channels include a variety of authorized representatives, such as traditional
cellular retailers, satellite television dealers and computer sales and repair stores. These authorized repre-
sentatives typically operate retail stores but, subject to our approval, can also extend their sales efforts online.
Authorized representatives assist in developing awareness of and demand for our service by promoting our
services and brand as part of their own advertising and direct marketing campaigns. We compensate these
dealers solely on the basis of commission. As of December 31, 2007, we had approximately 1,830 authorized
representatives in the United States.
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