Microsoft invests $600m in Nextel Communications

Microsoft invests $600m in Nextel Communications
Tom Foremski
Microsoft extended its investments in communications companies Monday with a $600m investment in wireless communications company Nextel Communications.
The investment includes an agreement to set up a co-branded Internet portal designed for Nextel’s wireless Internet customers. Nextel says it will use the money to advance the deployment of wireless Internet services, develop additional digital services, expand the Nextel National Network in the United States, and fund system development and expansion in other countries.
The deal follows on the heels of a $5bn investment in AT&T that gives Microsoft access to five million set top boxes for its Windows CE software. Microsoft has cash reserves of about $22bn and is targeting investments outside of its core software business to avoid antitrust charges as it continues to prepare its defence in the US government’s antitrust trial.

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