Tuesday, March 4, 2008

Trouble at Clearwire?

Clearwire generated $45.4 million in service revenues in its most recent quarter, a 91 percent growth rate year over year. Not bad. But it is the guidance for 2008 that is troublesome.IT expects a 29 percent to 35 percent subscriber growth to end 2008 with 510,000 to 530,000 subscribers.

Growth businesses aren't supposed to slow that much, so early into their growth trajectory. Average revenue per user doesn't seem to be headed in the right direction, either. ARPU in the fourth quarter was just over $36.00, slightly below the year-ago quarter.

No comments:

Amazon AI Capex is a Rorschach Test

Amazon capital spending plans are a bit of a Rorschach test test these days: what the picture means tells us more about the viewer’s perce...