Al:
The 800 Mhz spectrum they have is very attractive and many would love to have it (now that it has been aggregated), at the right price of course.
My uneducated question on this topic: If Nextel was to be acquired by another company, lets say cellular or SAT oriented, could Nextel's system be easily converted to another use?
We can establish value easily using today's technical data, however, the field of communication is evolving almost as fast as the computer chip industry. Is Nextel's form of communication "forward thinking" or just based on todays technology?
I'm inferring your question is similar to what is the liquidation value of the capx. The switching infrastructure and backbone networks could probably be completely reused. There would be little loss in value of the leasehold improvements at the trasnmitter sites. Worst, worst, case, someone may want to throw out the RF but that might only be 30-40% of the total asset base. Don't hold me to that figure, I have done zero research on it.
I don't know how Nextel is depreciating, but I would assume the period reasonably matches the rates of technological obsolesence in the industry.
All IMO
bye for now
ww |