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Strategy report
TO: Proximity mobile team FROM: Josh Patton DATE: September 29, 2009 SUBJECT: Strategy Report

This is my strategy report for Sprint Nextel Corporation. Sprint Nextel is a hybrid telecommunications company that is competing with Verizon and AT&T in the smart phone industry. I think Sprint Nextel’s smart phone (The Palm) will not attract Gen Y because of the wide spread popularity of the Blackberry and the iPhone.

The Sprint Nextel Corporation was created in 2005 when Sprint Corporation bought Nextel Communications. This publicly traded company owns the third largest wireless telecommunications network in the United States. The company is based in Overland Park, Kansas, and the current CEO is Dan Hasse.
 * Profile **

The company’s primary source of revenue is monthly payments from customers for a cell phone service. Compared to other telecommunications companies, Sprint Nextel is not doing well financially: it has had a negative net income for the last two years (Yahoo Finance 2009).

The dominant force driving the telecommunications market is the rivalry between Verizon (Blackberry) and AT&T (iPhone). Sprint Nextel wants to compete with this dominant duo of cell phone providers. The other force driving the market is the competition for consumer power. When a customer’s two year contract is up, they was the option to jump to another carrier.
 * Competitive Landscape **

Sprint Nextel made the decision to compete with Verizon and AT&T, by coming out with a 4G network for their smart phone (The Palm). They are taking advantage of AT&T’s short comings of “having a network that is so jammed up it is virtually useless” (Marsal, 2009). Sprint Nextel has also cut the price of the Palm to $150 with a two year contract to make their product more attractive to consumers.
 * Business Strategy **

These strategies are not going to be enough for Sprint Nextel. They are still losing subscribers to their rivals: “Sprint continues to lose money and valuable postpaid customers” (German 2009). Sprint Nextel is never going to go heads up with thriving AT&T and Verizon, when they continue to lose contracts that provide most of the company’s revenue.

Gen Y is always looking for the next best technology when it comes to mobile devices. The only chance for Sprint Nextel is going to come when they can successfully get their new 4G network available to all customers. An operational 4G network could possibly attract Gen Y to Sprint Nextel.
 * Implications for Gen Y **

I am not convinced that Sprint Nextel is ever going to be able to attract Gen Y, as long as the iPhone and Blackberry are still going strong. The Palm is going to have a difficult time being a legitimate competitor. The Palm lacks application availability. Most of the application designers are focused on making applications for the more popular iPhone and Blackberry.

German, Kent. On Call: Is Sprint on its way back? (2009, September 8). The New York Times. Retrieved September 21, 2009 from [] Marsal. Katie. Sprint exec criticizes AT&T 3G; Palm CEO talks iPod, Apple. (2009, September 18). Apple Insider. Retrieved September 21, 2009 from [].
 * References **

Wikipedia. (2009, September 21). Sprint Nextel. Retrieved September 21 from [].

Yahoo Finance. (2009, September 21). Sprint Nextel. Retrieved September 21, 2009 from [].

Blog proposal
TO: Proximity mobile team FROM: Josh Patton SUBJECT: Blog post proposal DATE: October 27, 2009

I propose that we do our Proximity blog post on the new 4G network that Sprint Nextel is providing its customers. This post can be used to attract customers that are skeptical about changing their cell phone service to Sprint.


 * Rationale**

Telecommunication is dominated by AT&T and Verizon. Sprint Nextel is making efforts to compete with the dominant duo. The 4G network provided by Sprint is taking advantage of the 3G short comings of “having a network that is so jammed up it is virtually useless” (Marsal, 2009). If this high powered network can become nationally available, it will make Sprint Nextel very attractive to smart phone users.


 * Sources**

Marsal. Katie. Sprint exec criticizes AT&T 3G; Palm CEO talks iPod, Apple. (2009, September 18). Apple Insider. Retrieved September 21, 2009 from [].

Saine, Jason. Clearwire and Sprint to launch 4G in NY. (2009, October 25). Lincoln Tribune.com. Retrieved October 25, 2009 from [|http://www.lincolntribune.com/modules/news/article.php?storyid=14488]

Report proposal
TO: Proximity Mobile Team FROM: Josh Patton DATE: November 25, 2009 SUBJECT: Proposal for report on 4G network The 4G network has the ability to take advantage of what the 3G network can’t. The 4G network is going to be the proposed platform on which all smart phones are run on in the near future. I propose to write a report on what the 3G network is lacking and the upcoming capabilities of the 4G network.


 * Need**

When compared to the 3G network, the 4G network supposedly will:

· Be three to five times faster.

· Have a much larger pipeline.

· Be more secure.

Will the 4G network allow developers to write applications that fully take advantage of the multi-media capabilities of the new generation of smart phones? Proximity’s clients need to know when the 4G network will be available so they can to plan now for rich media ads and other forms of content that target Gen-Y.


 * Topics**

The proposed report, “4G is the Next Big Thing for Smart Phones,” will cover the following topics:


 * The meaning of the “G” in network for telecommunications.


 * 3G network limitations.


 * 4G network capabilities.


 * Industries expectations for the new 4G networks.


 * Sources**

The following resources are important to writing this report:

Bradley, Tony. Verizon LTE 4G Network Set to Turbo Charge Mobile Devices. (2009 August 17). Network World. Retrieved November 23, 2009 from []

In a Network World article, Bradley reports on Verizon’s long term evolution (LTE) network. This 4G network will revolutionize the streaming video capabilities of smart phones. He talks about the problems experienced with Verizon’s 3G network and how they will all be fixed with the 4G network.

Gregory, Erik. The Road to 40G. (2009, November 23). New Electronics. Retrieved November 20, 2009 from []

Gregory reports in an article from New Electronics about how the technology for smart phones is growing at such a rapid rate in the last five years. He explains that smart phone users are demanding applications that require higher bandwidth. The higher bandwidth is available with the 4G network. Lastly Gregory reports on when the new 4G network will be rolled out and estimates this roll out period.

Papalardo, Denise. What You Need To Know About 4G. (2007, May 21). Network World. Retrieved November 24, 2009 from

Papalardo reports on the 4G network right after Sprint Nextel launched a three billion dollar plan to build a 4G network. She talks about what this new network will allow consumers to do after its roll out. She also talks about how and why the 4G network will open many doors for application developers.

Sullivan, Mark. First 4G Andriod-Based Smart Phone May Arrive in 2010 From Sprint. (2009, September 17). PC World. Retrieved November 20, 2009 from []

Sullivan reports in a PC World Blog about the upcoming 4G network becoming available with Sprint. This 4G network will be available on the Android smart phone. He mentions what the 4g network will bring to customers, and what the combination of the new network and the Android will allow application developers to do.

“4G- Beyond 2.5G and 3G Wireless Networks.” (2009, October 2). Mobile Info. Retrieved from []

The Mobile Information website informs about what the new 4G network is and compares it to the 2.5/3G network. This article explains why research for the 4G network began and how the new network will exploit the problems of the 3G network.

Team conference presentation proposal
Possibilities for conference: 1. 4G wireless network entering the mobile phone world.

Sales letter and report prospectus
December 3, 2009

Mr. Jim O’Neal Intersog 1019 W Lake St Chicago, IL 60607

Dear Jim:

I enjoyed talking with you yesterday at Proximity’s Next Generation Media seminar regarding Intersog’s need to understand how to use the 4G network to create top notch mobile applications. Enclosed you will find a prospectus for the report I mentioned describing everything Intersog should know about the upcoming network.

As you noted yesterday, Intersog feels that it must establish brand identity with Gen Y now in order to sell its products. I believe Proximity can work with you to get a better understanding about what kind of mobile applications can be made to run on the 4G network.

We can provide you with anything you need to know about the 4G network. Our faculty consultants can advise your development team on how target Gen-Y when developing mobile applications on the 4G network. We can provide surveys and focus group results that can help Intersog further connect applications to Gen-Y. We also have trained student marketers who can promote Intersog’s brand image on social networks such as Facebook.

I invite you and your staff to join us at Proximity’s Towson office for a special focus group session on Intersog’s Gen Y brand image. After that session, you can meet with members of our group to discuss how Proximity can help you meet your goals.

Sincerely, Josh Patton Associate Mobile Analyst

enclosure


 * About Proximity**

Proximity is a Gen Y on-demand media strategy group. Its analysts know how to connect with their generation using campaigns designed for the new media landscape. Because it is associated with Towson University, Proximity has immediate access to a large student population and the expertise of faculty who specialize in marketing and media research.

Proximity offers its clients a full range of services for developing and executing customized campaigns that can reach any segment of Gen Y. It regularly conducts on-line surveys and focus group sessions to keep marketers up to date on the social trends and emerging technologies that determine how this cohort communicates and what it purchases. Visit Proximity at www.proximity.edu to sample its research and see examples of successful campaigns.



//report prospectus here// // connecting with Gen Y using on-demand media // ||^  ||
 * **// PROXIMITY reports //** || [[image:file:///C:/DOCUME%7E1/djh/LOCALS%7E1/Temp/msohtml1/01/clip_image001.jpg width="160" height="120"]] ||

Josh Patton // The Upcoming 4G Network will Supposedly Overcome 3G Shortcomings. // ||
 * ** 4G is the Next Big Thing for Smart Phones **

The current 3G network is not able to fully take advantage of smart phone capabilities.
 * **//__ The problem __//**

||

|| Proximity focus group results show that Gen Y is always interested in having the newest, fastest mobile phones. Application developers need a good understanding of what the upcoming 4G network can provide. This report goes into detail about the limitations of the 3G network, capabilities of the 4G network, and industry expectations for the upcoming 4G network. After reading this report, developers will have an idea of what type of applications the 4G network can handle. They will also get an approximate date for when the new network will become available in their location.
 * **//__ Proximity’s on-demand media solution __//**


 * Available now at www.proximity.edu **