Sprint Pours $20 Billion into Apple’s Halo
In August remarks to its board of directors, Sprint (NYSE:S) president Dan Hesse said the company will most likely lose money from the iPhone addition until 2014. Through a deal with Apple (NASDAQ:AAPL) that could be considered putting all Sprint’s eggs in one basket, Sprint agreed to buy 30.5 million iPhones, at a total cost of $20 billion, over the next four years. To keep the iPhone retail price low and competitive, Sprint will subsidize the cost of each phone to approximately $500.
The company is expected to officially announce the iPhone 5 offering later this week.
Super Hot Feature: Apple iPhone 5 Announcement Preview.