Lightyear Expands Sprint Wireless Contract

Lightyear Network Solutions Inc. announced this week that it has secured a five-year agreement with Sprint Nextel Corp. to resell Sprints wireless network as a mobile virtual network operator (MVNO).

The contract updates an unprecedented 2009 agreement between the two companies wherein Sprint joined Lightyear in committing resources, including cash, expertise and facilities to supporting the Lightyear sales channels, which include a network marketing arm serving residential and an agent network serving businesses. The amendment impacts only the wireless portions of the contract.

Under the new deal, Lightyear will offer postpaid and prepaid mobile telephone service over the nationwide Sprint network. And, different from the previous wireless agreement, it gives Lightyear access to more current Sprint wireless devices and the ability to develop a wider range of wireless products, including offerings for business, said Brian Garrison, Lightyears vice president strategic planning and marketing.

In a press statement, the company added that the deal further would enable the CLEC to offer bundled wireline/wireless services and new solutions such as fixed mobile convergence.

Lightyears sales force has been selling service under the amended agreement for a few months, Garrison said. The agent offer will launch in July, he said, adding there will be no changes to the program as a result.

In a February 2011 Channel Partners article, Lightyear said it offers agents an up-front bounty” and residual commissions on wireless deals.

Lightyear launched Lightyear Wireless as a result of a July 2008 agreement with Verizon Wireless. That direct agreement with Verizon is no longer in force, Garrison said.

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