LightSquared momentum continues with Cellular South deal

Despite the looming regulatory threat to its future long-term evolution (LTE) network deployment, LightSquared continues to sign up wholesale customers and partners, adding Cellular South to its growing roster.

As in its deal with Open Range Communications, LightSquared’s tie-up with Cellular South will involve both a network sharing and a wholesale component. Cellular South is already building its own LTE network in its southern US CDMA footprint focused primarily in Mississippi, targeting the end of 2011 for launch. So in addition to Cellular South buying wholesale access to LightSquared’s nationwide terrestrial network and satellite coverage, LightSquared will use Cellular South’s to augment its footprint in rural areas. Cellular South has 700 MHz spectrum, which would allow it to run its mobile broadband service in the same band as Verizon Wireless, though its new partnership with LightSquared may change that. LightSquared is deploying its 40,000 base station network in the satellite L-band, meaning any roaming capable device Cellular South has will need to target those frequencies. In LightSquared’s partnership with Open Range, though, LightSquared is supplying the spectrum while Open Range builds the network. Cellular South and LightSquared weren't clear on how the partnership would work, but Cellular South may now have the option of launching LTE in two bands or just LightSquared’s spectrum solely. The latter could save it a lot of hassle in procuring devices.