Digicel, Sprint enter revenue-share agreement on 4G roaming
Published:Friday | December 10, 2010 | 12:00 AM
Sprint Nextel, one of the first American companies to debut 4G services in its home market, is partnering with Digicel Jamaica to give its customers a wider space in which to roam.
The transaction is limited to data, although Sprint offers 4G mobile phone service in its home market.
Digicel in August introduced its long-awaited 4G WiMAX broadband service, limited to laptops. The company has said it may add 4G mobile handsets to the mix down the line. The Sprint agreement does not change that timeline, it said.
"In respect of 4G phones in our Digicel stores, our plans remain the same and as and when a suitable 4G handset is available, we will evaluate it," Digicel Group head of communications, Antonia Graham, said in response to queries from the Financial Gleaner.
But asked whether that meant Digicel was working with phone suppliers to customise a 4G phone for its markets, Graham simply repeated the comment.
"When a suitable 4G handset is available for the Jamaica market, we will evaluate it."
Sprint Nextel subscribers under the arrangement will soon be able to remain connected throughout their visit to the Jamaica. It struck a similar deal with a company called Global Mobile in Taiwan.
The agreement means that customers with 4G plans or Sprint SmartView Connection Manager - a feature which allows users to create a high-speed Internet connection for their computer anywhere on the Sprint 3G or 4G networks or on compatible international networks - will be able to automatically detect the local 4G network and roam with an unlimited 24-hour day pass.
Subscribers will only be able to access data, as Sprint does not operate a GSM network with which phone service could be accessed.
The terms of the partnership were not disclosed, but Graham said it was "a revenue-share agreement". She declined to say the value of the deal to Digicel.
"We can't give a figure on this. It is dependent on the number of Sprint customers, who subscribe to their 4G service will travel to Jamaica and want to use their 4G device using Digicel 4G broadband," Graham commented.
"Currently, there are very few agreements around the world for 4G roaming - we are delighted to be a part of the community that will enable 4G roaming."
She said the roaming agreement could be extended to other Digicel markets where it has WiMAX services, but that it would likely require different configurations.
"It's important to note that the spectrum Sprint uses has to be the same as Digicel's, said the group spokeswoman.
"Cayman, for example, is on a different frequency to Jamaica."
The Sprint roaming plan should kick in early next year. Customers will pay using a specially designed portal or their credit cards, Graham explained.