Scott Richardson, Clearwire Chief Strategy Officer
May 29th, 2007

It goes without saying that those familiar with WiMAX are also familiar with US based service provider Clearwire. Founded in October 2003 by wireless pioneer Craig O. McCaw, the company launched wireless broadband service in August 2004 and now offers coverage in 38 metro markets in the US, as well as locations in Ireland and Belgium.

The company also recently announced the successful completion of the initial phase of one of the first mobile WiMAX field trials in the US. The field trial in the Portland, Ore. suburb of Hillsboro jointly conducted with Intel Corporation and Motorola, Inc. uses infrastructure equipment based on the IEEE 802.16e mobile WiMAX standard and relies on Clearwire's spectrum in the 2.5GHz frequency band. The first phase of the field trial focused on coverage, capacity and speed associated with the air interface.

WiMax.com recently sat down with Scott Richardson, to discuss its service offerings and latest developments around WiMAX.

Coming from Intel with a background in WiMAX and wireless broadband technology, can you explain your new role with Clearwire?

As Chief Strategy Officer, my role is to help drive the company's global mobile wireless broadband efforts.

Why did you want to work for a company like Clearwire?

Clearwire is building a network today that is doing for the Internet what cellular networks did for voice communications 20 years ago. This is a very exciting time in the wireless industry, and Clearwire is on the forefront of changing the way people access the Internet by delivering a true broadband experience to a person rather than a place.

Can you explain Clearwire's Service offering?

Clearwire offers wireless high-speed Internet service that is simple, fast, portable, reliable and affordable. Customers use Clearwire to connect to the Internet using licensed spectrum, eliminating the confines of traditional cable or phone wiring. With our plug-and-play installation customers can be on the Internet within minutes of set up and can be moved from place-to-place inside our coverage area where there is a power source.

Clearwire has been around for some time deploying wireless broadband services in multiple markets with different technologies. Can you explain why deploying a large regional or national wireless broadband network will be different today compared to past deployments?

We believe our services can be complementary to both existing wireline and wireless services. We are able to offer a caliber of service that is typically associated with wireline services, but enables the user to access the services anytime and anywhere within our coverage area. This is a new category of service which fills a void that we perceive exists between current wireline and wireless offerings.

It is widely known that Clearwire holds 2.5 GHz licenses for many markets in the continental United States. However many people don't know that Clearwire owns spectrum in other countries as well. Can you please explain your global spectrum holdings and plans for operation in these other markets?

Our service is currently available in Belgium and Ireland. We currently hold spectrum rights in Belgium, Germany, Ireland, Poland, Romania and Spain. We also have partnerships in Denmark and Mexico.

We do not comment on our specific operational plans and business strategies, but we intend to continue to expand our international presence.

You are currently offering voice and data services to business customers through a fixed wireless architecture. Do you plan to offer mobile services to consumers in the future and if so how soon will these services be available?

I would not characterize our service as fixed. We provide a portable wireless broadband service that will become increasingly mobile as we deploy mobile WiMAX and have end user devices that facilitate greater mobility.

We are currently involved in a mobile WiMAX trial with Intel and Motorola near Portland. Subject to equipment being available we expect to deploy mobile WiMAX in the first half of next year.

Currently Clearwire is offering proprietary wireless services using radio equipment from Motorola/Nextnet. Will Clearwire offer true WiMAX Broadband Services using certified WiMAX equipment?

Yes, subject to equipment being available we expect to deploy mobile WiMAX in the first half of next year.

Does your business model hinge on a largely residential customer base, a business-to-business model or some kind of mix? In which direction is it likely to lean and do you anticipate it changing over time?

Our business plan focuses on delivering a unique, high-value service with increasing average rate per user and penetration opportunities as we add additional features, functionality and value-added services to our network.

Starting next year we expect to see mobile WiMAX chipsets being built into PCs and handheld devices that should further enhance our market opportunity. As more and more mobile WiMAX end user devices become available and as we begin to deploy mobile WiMAX networks, we believe we will have tremendous opportunities to increase our average rate per user and penetration as we migrate to a per user or per device model.

Is there anything holding you back with your deployment plans in the US and other markets? Lack of Spectrum? Limited WiMAX Handsets? Costs of deployment? Technology? Chips? Etc.

We are in a great position for sustained long-term success. We have a strong management team lead by Craig McCaw and many other communications industry leaders, we have a WiMAX spectrum footprint across the US and Europe that is second to none and next generation technology supported by industry leaders like Intel and Motorola.

What is Clearwire's view on Net Neutrality and offering complete open access to the internet to mobile WiMAX users?

Clearwire supports the Net Neutrality principles set forth by the FCC in its 2005 Broadband Policy Statement. As would any responsible facilities-based broadband service provider, Clearwire implements reasonable network and bandwidth management practices to protect and ensure the integrity and performance of our unique wireless broadband network. If while monitoring our network we detect a virus or damaging file targeting one of our ports, we will take what measures we can to prevent the rest of our network from contamination and appropriately protect our customers use and quality of service.

It appears that Clearwire intends to deploy wireless broadband services in Tier II markets first and then target major metropolitan areas later. Can you comment on your deployment Strategy in US and other markets you plan to serve?

We build in a wide range of markets from major metropolitan areas to small, rural communities, and markets of all sizes in between. We are currently in 38 US markets, covering 9.1 million people in more than 400 municipalities in 12 states. We are also in four international markets in Denmark, Belgium, Ireland and Mexico.

Clearwire is targeting some cities that plan to have municipal wi-fi networks in place. Do you see Muni Wi-Fi deployments as a serious competitor to your service offering?

Clearwire also works with municipalities. For example, we have an agreement with the city of Grand Rapids, Michigan to provide our wireless broadband network throughout the city's 45 square miles. Our agreement with Grand Rapids is expected to include WiMAX/WiFI hybrid host spots that involve the placement of numerous WiFi hotspots in strategic locations throughout the city.

With incumbent Telco's and cable Companies offering voice, high-speed data and video services can Clearwire compete on a national scale without offering video services?

We believe we are offering a new category of service that fills a void that we perceive exists between current wireline and wireless offerings. We are able to offer a caliber of service that is typically associated with wireline services, but enables the user to access the services anytime and anywhere within our coverage area.

Can you please explain your marketing relationship with AOL?

Clearwire and AOL have expanded their distribution agreement to jointly market Clearwire's wireless broadband service to AOL user in all current and future Clearwire markets. AOL will sell Clearwire through all of its channels, which could include inbound calls, web and other direct response marketing efforts.

Scott Richardson has served as Clearwire's Chief Strategy officer since January 2007. From 2002 to 2006 Mr. Richardson led Intel's broadband wireless business and most recently served as vice president of Intel's Mobility Group and general manager of the company's Service Provider Business Group. In these roles, Mr. Richardson was responsible for creating the IEEE 802.16 standard and delivering the Company's silicon products for WiMAX Certified wireless equipment and access devices. From 1998 to 2002 Mr. Richardson served as general manager of Intel's OEM communication systems business serving the networking and communications market. From 1988 to 1998 Mr. Richardson led software efforts within Intel's Enterprise Server Group and held various staff roles in communications businesses

Clearwire, founded in October 2003 by Craig O. McCaw, is a provider of reliable, wireless high-speed Internet service. Headquartered in Kirkland, Wash., the company launched its first market in August 2004 and now offers service in 38 metro markets, covering approximately 8.9 million people in more than 400 municipalities in Alaska, California, Florida, Hawaii, Idaho, Minnesota, Nevada, North Carolina, Oregon, Texas, Washington and Wisconsin in the United States, as well as 1.2 million people in Ireland and Belgium

Visit Clearwire.