Sprint is essentially betting all of its chips on the iPhone. As the third largest mobile operator looks to become a bigger player in a world largely dominated by AT&T and Verizon, the Wall Street Journal reports today that Sprint is poised to "bet the company" on the iPhone.
The No. 3 wireless company is making a multibillion dollar gamble that Apple Inc.'s gadget will be the ticket to a turnaround, even though Sprint Chief Executive Dan Hesse told the board in August that Sprint would likely lose money on the deal until 2014, according to people familiar with the matter.
For now, sources close to Sprint will only say that the amount of cash Sprint is putting into the iPhone is ""staggering." But if the gamble pays off - and that's a big "if" - and Sprint attracts new customers (presumably, some of which will be siphoned away from AT&T and Verizon) the carrier may see itself on the most positive course it has charted in years.
Still, industry analysts and market watchers say the gamble is worth it. As Sprint's chief executive confirms, the lack of the iPhone remains "the No. 1 reason customers leave" Sprint.