Clearwire 2009 Annual Report Download - page 34

We ma
k
eava
il
a
bl
eto
i
nvestors,
f
ree o
f
c
h
arge, our reports to t
h
e Secur
i
t
i
es an
d
Exc
h
ange Comm
i
ss
i
on, w
hi
c
h
w
e refer to as the SEC, pursuant to the Securities Exchan
g
e Act of 1934, includin
g
our Reports on Forms 8-K, 10-
Q
and 10-K, through our website at www.clearwire.com,
a
s soon as reasonably practicable after such reports ar
e
el
ectron
i
ca
ll
y
fil
e
d
w
i
t
h
,or
f
urn
i
s
h
e
d
to, t
h
e SEC.
ITEM 1
A.
Ris
k
Factor
s
We are an early stage company, and we expect to continue to realize significant net losses for the foresee
-
abl
e
f
uture.
We are at an ear
ly
sta
g
eo
fi
mp
l
ement
i
n
g
our
b
us
i
ness strate
gy
.We
h
ave recor
d
e
d
net
l
osses
i
n eac
h
report
i
n
g
p
eriod since our inception, and we cannot anticipate with certainty what our earnings, if any, will be in any future
p
eriod. However, we expect to continue to incur significant net losses for the foreseeable future as we develop and
d
ep
l
o
y
our networ
ki
nnewan
d
ex
i
st
i
n
g
mar
k
ets, expan
d
our serv
i
ces an
d
pursue our
b
us
i
ness strate
gy
.We
i
nten
d
to
i
nvest si
g
nificantl
y
in our business before we expect cash flow from operations will be adequate to cover our
anticipated expenses. In addition, at this stage of our development we are subject to the following risks
:
• our results of operations ma
y
fluctuate si
g
nificantl
y
, which ma
y
adversel
y
affect the value of an investmen
t
i
n Class A Common Stock;
•wema
yb
e una
bl
eto
f
u
lly d
eve
l
op an
dd
ep
l
o
y
our next
g
enerat
i
on 4G mo
bil
e
b
roa
db
an
d
networ
k
, expan
d
our serv
i
ces, meet t
h
eo
bj
ect
i
ves we
h
ave esta
bli
s
h
e
df
or our
b
us
i
ness strate
gy
or
g
row our
b
us
i
ness
profitabl
y
, if at all
;
•
b
ecause o
f
our
li
m
i
te
d
operat
i
ng
hi
story,
i
t may
b
e
diffi
cu
l
t to pre
di
ct accurate
l
y our
k
ey operat
i
ng an
d
performance metrics utilized in bud
g
etin
g
and operational decisions
;
• our next
g
enerat
i
on 4G mo
bil
e
b
roa
db
an
d
networ
k
re
li
es on mo
bil
eW
i
MAX tec
h
no
l
o
gy
t
h
at
i
snewan
dh
as
n
ot
b
een w
id
e
ly d
ep
l
o
y
e
d
prev
i
ous
ly
;an
d
• our networ
k
an
d
re
l
ate
d
tec
h
no
l
og
i
es may
f
a
il
or t
h
e qua
li
ty an
d
num
b
er o
f
serv
i
ces we are a
bl
e to prov
id
e
m
ay
d
ec
li
ne
if
our networ
k
operates at max
i
mum capac
i
ty
f
or an exten
d
e
d
per
i
o
d
o
f
t
i
me or
f
a
il
s to per
f
or
m
to our ex
p
ectations.
If
we are una
bl
e to execute our
b
us
i
ness strategy an
d
grow our
b
us
i
ness, e
i
t
h
er as a resu
l
to
f
t
h
er
i
s
k
s
id
ent
ifi
e
d
i
nt
hi
s sect
i
on or
f
or an
y
ot
h
er reason, our
b
us
i
ness, prospects,
fi
nanc
i
a
l
con
di
t
i
on an
d
resu
l
ts o
f
operat
i
ons w
ill b
e
m
aterially and adversely affected
.
I
f our business fails to perform as we expect or if we elect to pursue new or alternative business strate
-
gies, we may require substantial additional capital, which may not be available on acceptable terms or a
t
all
.
T
he amount of ca
p
ital that we will re
q
uire to im
p
lement our current
p
lans de
p
ends on a number of factors
,
m
any of which are difficult to predict and outside of our control. In preparing our plans, we were required to mak
e
c
erta
i
n assumpt
i
ons as to t
h
e
f
uture per
f
ormance o
f
our
b
us
i
ness. I
f
an
y
o
f
t
h
e assumpt
i
ons un
d
er
lyi
n
g
our p
l
ans
p
rove to be incorrect and, as a result, our business fails to perform as we expect, we ma
y
require substantia
l
additional capital in the near and lon
g
-term to fund operatin
g
losses, network expansion plans and spectru
m
acqu
i
s
i
t
i
ons.
Further, we re
g
ularl
y
evaluate our plans, and we ma
y
elect to pursue new or alternative strate
g
ies which w
e
b
e
li
eve wou
ld b
e
b
ene
fi
c
i
a
l
to our
b
us
i
ness. T
h
ese may
i
nc
l
u
d
e, among ot
h
er t
hi
ngs, mo
dif
y
i
ng t
h
epaceatw
hi
c
h
we
b
uild our 4G mobile broadband networks, au
g
mentin
g
our network covera
g
e in markets we launch, chan
g
in
g
our sales
and marketin
g
strate
gy
and/or acquirin
g
additional spectrum. We also ma
y
elect to deplo
y
alternative technolo
g
ies t
o
m
o
bil
eW
i
MAX,
if
an
d
w
h
en t
h
ey
b
ecome ava
il
a
bl
e, on our networ
k
se
i
t
h
er toget
h
er w
i
t
h
,or
i
np
l
ace o
f
,mo
bile
Wi
MAX
if
we
d
eterm
i
ne
i
t
i
s necessar
y
to cause t
h
e4Gmo
bil
e
b
roa
db
an
d
serv
i
ces we o
ff
er to rema
i
n compet
i
t
i
ve or
t
oexpan
d
t
h
enum
b
er an
d
t
y
pes o
fd
ev
i
ces t
h
at ma
yb
euse
d
to access our serv
i
ces. I
f
we e
l
ect to pursue an
y
o
f
t
h
ese
s
trategies, we may be required to seek to raise substantial additional capital in the near and/or long term
.
24