LightSquared, Open Range Partnership Extends 4G LTE Services to Rural America

Broadband connectivity supplier LightSquared and wireless broadband service provider Open Range Communications have entered into an agreement to establish a multi-year strategic network partnership. According to the partners, it represents a major step toward fulfilling the promise of the FCC’s National Broadband Plan. As stated in the plan, “Broadband can and must serve as a foundation for long-term economic growth, on-going investment and enduring job creation.”.

This partnership underscores the goals of this plan by providing benefits to consumers, businesses, healthcare, tribal organizations, public safety and other government users located in or travelling to rural communities and who are seeking access to the latest generation of mobile services, said LightSquared.

Under this deal, Open Range will lease LightSquared’s L-band spectrum, enabling Open Range to sell LightSquared’s next generation satellite capacity. In addition, it also includes a 4G nationwide reciprocal roaming arrangement. Under the roaming arrangement, the companies will collaborate on the design, build-out and operation of Open Range’s network as well as on product and service evolution, according to LightSquared.

The arrangement, which is set out in an Initial Network Agreement, is subject to the execution of definitive agreements, which are expected to be finalized as soon as possible, stated LightSquared. Furthermore, it is also subject to review by the United States Department of Agriculture’s Rural Development Utilities Program, and approval of spectrum lease arrangements by the FCC.

In a statement, said Open Range’s CEO and founder Bill Beans, “Open Range’s unwavering vision is for ubiquitous high-speed Internet service at an affordable price across all of rural America. The partnership with LightSquared helps fulfill our vision of delivering the most advanced and interoperable broadband wireless communications services to un-served and underserved rural communities across America. The combination of satellite and Ancillary Terrestrial Component (ATC) services provides the only feasible way to offer meaningful ubiquitous nationwide rural broadband and meet President Obama's goals.”

Similarly, commented Sanjiv Ahuja, chairman and CEO of LightSquared, “This partnership enables LightSquared to provide an enlarged and seamless nationwide 4G-LTE footprint to all of our retail partners and their customers, and is part of LightSquared’s planned commercial service which will result in billions of dollars of investment, offer consumers a new wireless competitor and create tens of thousands of jobs across America.”