Sprint in Talks to Share Network

Sprint Nextel is in advanced talks to rent space on its wireless network to start-up LightSquared and Clearwire.

The deals would let the smaller companies expand their service more cheaply than if they had to build out separate networks of their own, while giving Sprint another revenue source and access to spectrum needed to support a nationwide next-generation network of its own. The prospective deal with LightSquared would give the start-up, backed by hedge fund Harbinger Capital Partners, access to Sprint's infrastructure as it tries to roll out a nationwide 4G network. Sprint would be paid in a mix of cash and use of LightSquared's spectrum. That spectrum, particularly in rural areas, could eventually let Sprint cut back on money it pays to competitors like Verizon to roam on their networks in areas where Sprint lacks coverage.