NEW YORK (AP) - Sprint is buying out the founder of Clearwire to gain majority control of the wireless network operator. The move follows the pledge by Japan's Softbank to infuse Sprint with cash by buying a majority stake in it.
Sprint Nextel Corp. says in a regulatory filing Thursday that it will pay wireless pioneer Craig McCaw and his holding company $100 million for a 5 percent stake in Clearwire, pushing Sprint's stake above 50 percent.
Clearwire has the right to use a large share of the nation's airwaves, but lacks the money to renovate and expand its network. Sprint has been struggling financially too, and hasn't been in a position to invest in Clearwire until Monday's announcement that Japanese cellphone company Softbank would buy 70 percent of Sprint for $20 billion.
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