Tomahawk, WI 12/10/2013 (BasicsMedia) – Sprint Corporation (NYSE:S) is the number three mobile operator in the U.S. The company trails Verizon Communications and AT&T. Each of these carriers is investing big in network upgrade. Verizon Communications is somehow ahead of the park in this project and AT&T is underway in its network upgrade. On its part, Sprint is spending $8 billion on the same and hopes to catch up with the industry leaders.

Sprint Corporation (NYSE:S) is till struggling to seen profits in its books but the struggle is paying off. The company is adding more subscribers to its network and hopes to offer more products and features that would bring in more customers. Its acquisition by Softbank has been particularly important for its rally against industry giants.

The company has $21.6 billion from Softbank of which $8 billion has been set aside for network upgrade. The company has also recently offered private debt through which it raised more than $2.6 billion. The proceeds from this debt plus the remaining cash from Softbank deal are expected to be spent in general corporate purposes. As usual, these include modernization, network expansion and retirement of outstanding debts. The new debts are expected to mature in 2024.

The roll out of the high-speed 4G network is expected to raise the carrier’s competitive edge and offer the best speeds for customers who need it. Sprint’s network upgrade and expansion is now among the widest in the U.S. The challenge to the company’s profitability remains the red-hot competition in the industry plus high operating expenses.

These are expected to reduce was time goes given that the company is already implementing a cost-cutting strategy. The growth of Sprint Corporation (NYSE:S) is not going to happen overnight, but there is no doubt it is now around the corner, thanks to the injection from Softbank and sound management policies.

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