Clearwire 2008 Annual Report Download - page 130

Download and view the complete annual report

Please find page 130 of the 2008 Clearwire annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 152

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152

M
aster Agreement
f
or Networ
k
Services —
W
e entere
di
nto a master agreement
f
or networ
k
serv
i
ces, or t
he
Master Agreement
f
or Networ
k
Serv
i
ces, w
i
t
h
var
i
ous Spr
i
nt a
ffili
ate
d
ent
i
t
i
es, w
hi
c
h
we re
f
er to as t
h
e Spr
i
nt
Entities,
p
ursuant to which the S
p
rint Entities and we will establish the contractual framework and
p
rocedures for us
to purc
h
ase networ
k
serv
i
ces
f
rom Spr
i
nt Ent
i
t
i
es. We may or
d
er var
i
ous serv
i
ces
f
rom t
h
e Spr
i
nt Ent
i
t
i
es,
i
nc
l
u
di
ng
IP networ
k
transport serv
i
ces,
d
ata center co-
l
ocat
i
on, to
ll
-
f
ree serv
i
ces an
d
access to t
h
e
f
o
ll
ow
i
ng
b
us
i
nes
s
p
latforms: voicemail, instant messa
g
in
g
services, location-based s
y
stems and media server services. The Sprin
t
Entities will provide a service level agreement that is consistent with the service levels provided to similarly situate
d
c
ustomers. Pr
i
c
i
n
gi
s spec
ifi
e
di
n separate pro
d
uct attac
h
ments
f
or eac
h
t
y
pe o
f
serv
i
ce;
i
n
g
enera
l
,t
h
epr
i
c
i
n
gi
s
b
ase
d
on t
h
em
id
-po
i
nt
b
etween
f
a
i
r mar
k
et va
l
ue o
f
t
h
e serv
i
ce an
d
t
h
e Spr
i
nt Ent
i
t
i
es’
f
u
lly
a
ll
ocate
d
cost
f
o
r
p
roviding the service. The term of the Master Agreement for Network Services will be five years, but the lessee wil
l
h
ave t
h
er
igh
t to exten
d
t
h
e term
f
or an a
ddi
t
i
ona
lfi
ve
y
ears. A
ddi
t
i
ona
lly
,
i
n accor
d
ance w
i
t
h
t
h
e Master A
g
reemen
t
f
or Networ
k
Serv
i
ces w
i
t
h
t
h
e Spr
i
nt Ent
i
t
i
es, we assume
d
certa
i
na
g
reements
f
or
b
ac
kh
au
l
serv
i
ces w
i
t
h
certa
i
no
f
the Investors that contain commitments that extend up to five
y
ears
.
IT Master Services A
g
reement —
W
e entere
di
nto an IT master serv
i
ces agreement w
i
t
h
t
h
e Spr
i
nt Ent
i
t
i
es, o
r
t
h
e IT Master Serv
i
ces A
g
reement, pursuant to w
hi
c
h
t
h
e Spr
i
nt Ent
i
t
i
es an
d
us w
ill
esta
bli
s
h
t
h
e contractua
l
framework and procedures for us to purchase information technolo
gy
, or IT, application services from the Sprint
Entities. We may order various information technology application services from the Sprint Entities, including
h
uman resources app
li
cat
i
ons, supp
ly
c
h
a
i
nan
dfi
nance app
li
cat
i
ons,
d
ev
i
ce mana
g
ement serv
i
ces,
d
ata ware
h
ouse
s
erv
i
ces, cre
di
t/a
dd
ress c
h
ec
k
,IT
h
e
l
p
d
es
k
serv
i
ces, repa
i
r serv
i
ces app
li
cat
i
ons, customer trou
bl
e mana
g
ement,
c
overage map applications, network operations support applications, and other services. The specific service
s
r
equeste
db
yusw
ill b
e
id
ent
ifi
e
di
n Statements o
f
Wor
k
to
b
e comp
l
ete
db
yt
h
e Spr
i
nt Ent
i
t
i
es an
d
us. T
h
e Spr
i
nt
Ent
i
t
i
es w
ill
prov
id
e serv
i
ce
l
eve
l
s cons
i
stent w
i
t
h
t
h
e serv
i
ce
l
eve
l
st
h
e Spr
i
nt Ent
i
t
i
es prov
id
etot
h
e
i
ra
ffili
ates
f
or
the same services. Pricin
g
will be specified in each separate Statement of Work for each t
y
pe of service. The term o
f
t
h
e IT Master Serv
i
ces Agreement w
ill b
e
fi
ve years,
b
ut we w
ill h
ave t
h
er
i
g
h
t to exten
d
t
h
e term
f
or an a
ddi
t
i
ona
l
fi
ve years
.
4G
MVN
O
Agreement
We entered into a non-exclusive 4G MVNO a
g
reement at the Closin
g
with Comcast
MVNO II, LLC, TWC Wireless, LLC, BHN S
p
ectrum Investments, LLC and S
p
rint S
p
ectrum L.P., or the 4
G
MVNO A
g
reement. We w
ill
se
ll
w
i
re
l
ess
b
roa
db
an
d
serv
i
ces to t
h
eot
h
er part
i
es to t
h
e 4G MVNO A
g
reement
f
o
r
t
h
e purposes o
f
t
h
e purc
h
asers mar
k
et
i
n
g
an
d
rese
lli
n
g
t
h
ew
i
re
l
ess
b
roa
db
an
d
serv
i
ces to eac
h
o
f
t
h
e
i
r respect
i
v
e
e
nd user customers. The wireless broadband services to be provided under the 4G MVNO A
g
reement includ
e
s
tan
d
ar
d
networ
k
serv
i
ces, an
d
,att
h
e request o
f
any o
f
t
h
e part
i
es, certa
i
n non-stan
d
ar
d
networ
k
serv
i
ces. We w
ill
s
e
ll
t
h
ese serv
i
ces at our reta
il
pr
i
ces
l
ess a
g
ree
d
upon
di
scounts
.
I
ntel Market Development Agreement We entered into a market development a
g
reement with Intel, or the
I
ntel Market Development Agreement, pursuant to which we committed to deploy mobile WiMAX on our network
a
n
d
to
p
romote t
h
e use o
f
certa
i
n note
b
oo
k
com
p
uters an
d
mo
bil
e Internet
d
ev
i
ces on our networ
k
,an
d
Inte
l
wou
ld
d
eve
l
o
p
, mar
k
et, se
ll
an
d
su
pp
ort W
i
MAX em
b
e
dd
e
d
c
hip
sets
f
or use
i
n certa
i
n note
b
oo
k
com
p
uters an
d
mo
bile
I
nternet devices that may be used on our network. The Intel Market Development Agreement will last for a term of
s
even
y
ears
f
rom t
h
e
d
ate o
f
t
h
ea
g
reement, w
i
t
h
Inte
lh
av
i
n
g
t
h
e opt
i
on to renew t
h
ea
g
reement
f
or success
i
ve one
y
ear terms up to a max
i
mum o
f
13 a
ddi
t
i
ona
ly
ears prov
id
e
d
t
h
at Inte
l
meets certa
i
n requ
i
rements. I
f
Inte
l
e
l
ects to
renew the a
g
reement for the maximum 20-
y
ear term, the a
g
reement will thereafter automaticall
y
renew fo
r
s
uccess
i
ve one year renewa
l
per
i
o
d
s unt
il
e
i
t
h
er party term
i
nates t
h
e agreement. Un
d
er t
h
e Inte
l
Mar
k
et Deve
l
-
opment A
g
reement, C
l
earw
i
re Commun
i
cat
i
ons w
ill
pa
y
to Inte
l
a port
i
on o
f
t
h
e revenues rece
i
ve
df
rom certa
i
n
retail customers usin
g
certain Intel-based notebook computers, or other mutuall
y
a
g
reed on devices on the it
s
n
etwor
k
,
f
or a certa
i
n per
i
o
d
o
f
t
i
me. Su
bj
ect to certa
i
n qua
lifi
cat
i
ons, C
l
earw
i
re Commun
i
cat
i
ons w
ill
a
l
so pay to
I
nte
l
act
i
vat
i
on
f
ees
f
or eac
h
qua
lif
y
i
ng Inte
l
-
b
ase
dd
ev
i
ce act
i
vate
d
on
i
ts networ
kd
ur
i
ng t
h
e
i
n
i
t
i
a
l
term
.
G
oo
g
le Products and Services A
g
reement — We entere
di
nto a pro
d
ucts an
d
serv
i
ces a
g
reement w
i
t
h
Goo
gl
e
,
or the Google Products and Services Agreement, pursuant to which Google and we will collaborate on a variety o
f
118
C
LEARWIRE CORPORATION AND
S
UB
S
IDIARIE
S
N
OTES TO CONSOLIDATED FINANCIAL STATEMENTS —
(
Continued
)