This article was published 16 years ago

Comcast, Time Warner to fund WiMax startup Clearwire

The two biggest cable companies in the United States want to enter the wireless internet as well, so says the Wall Street Journal

The two biggest U.S. cable providers, Comcast Corp. and Time Warner Cable Inc., are discussing a plan to provide funding for a new wireless company that would be operated by Sprint Nextel Corp. and Clearwire Corp., people familiar with the talks say.

The partnership would create a nationwide wireless network using WiMax technology, which is designed to provide high-speed Web access from laptops, cellphones and other mobile devices, as well as high-quality mobile video. Sprint and Clearwire have been working for months to cooperate on a WiMax rollout and are now trying to raise at least $3 billion for a joint venture.

Bright House is also funding the Sprint/Clearwire WiMax venture as well.  I could see this as a way for Time Warner and Comcast to launch a wireless phone service, like Cox Communications does in San Diego and Phoenix.  I don’t see this as Comast and Time Warner entering the wireless internet market, as both already dominate the cable and internet market.  I see this as a way to get consumers to get all four services (home phone, cable, internet, and wireless phone) on one bill.