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My Profile Top News Reuters top ten news stories delivered to your inbox each day. Subscribe You are here: Home > News > Technology > Article Home Business & Finance News U.S. Politics International Technology Internet Entertainment Sports Lifestyle Oddly Enough Health Science Special Coverage Video Pictures Your View The Great Debate Blogs Weather Reader Feedback Do More With Reuters RSS Widgets Mobile Podcasts Newsletters Your View Make Reuters My Homepage Partner Services CareerBuilder Affiliate Network Professional Products Support (Customer Zone) Reuters Media Financial Products About Thomson Reuters CORRECTED: Sprint-Virgin Mobile deal gets U.S. nod Tue Aug 25, 2009 10:42am EDT Email | Print | Share | Reprints | Single Page [-] Text [+] (Deletes reference in fifth paragraph to earnings report on Wednesday) WASHINGTON (Reuters) - Sprint Nextel Corp's proposed $483 million merger with Virgin Mobile USA Inc received antitrust clearance, the U.S. Federal Trade Commission said on Monday. In July, Sprint said it planned to buy out small wireless carrier Virgin Mobile in a deal that pushes Sprint, the No. 3 U.S. mobile service provider, deeper into the low-end prepaid mobile market. While Sprint already rents space on its network to Virgin Mobile, some analysts were puzzled by its decision to buy the small carrier. Sprint already has its own prepaid unit, Boost, which offers consumers unlimited calls for a set monthly fee. The deal will make Sprint more exposed to the toughest part of the prepaid market, in which customers pay in advance for calls on a per minute basis. Analysts said the deal could be an indication that Sprint was having a difficult time turning around its main postpaid business, which serves high-value customers who pay monthly bills. Boost, Leap Wireless and MetroPCS Communications Inc have seen strong growth in prepaid services that offer unlimited calls for a monthly fee. Sprint, which has been struggling to stem customer defections from its own mobile service over the last few years, said the deal would increase its free cash flow but did not give a specific forecast for the impact of the transaction. A Stifel Nicolaus analyst report said on Monday that a small number of Virgin Mobile's international licenses that would need to be transferred to Sprint will have to be reviewed by the Federal Communications Commission. "Its review will take some time, but we doubt it will pose a serious obstacle," the Stifel Nicolaus report said. (Reporting by John Poirier; Editing by Gerald E. McCormick and Steve Orlofsky) © Thomson Reuters 2009 All rights reserved Share: Del.icio.us Digg Mixx Yahoo! Facebook LinkedIn Next Article: CORRECTED - UPDATE 2-Sprint-Virgin Mobile deal gets US nod also on reuters Blog: The good news about Bernanke High testosterone boosts women traders Video Video: Propofol OD killed Jackson: coroner More Technology News Yahoo to compete with Bing despite Microsoft deal Jessica Biel tops list as most risky star in cyberspace UK proposes cutting Web access to file sharers Yahoo to launch Arabic portal with Arab partner Netbook pioneer Asustek eyes recovery; bets on China More Technology News... More News Sprint to buy Virgin Mobile USA Tuesday, 28 Jul 2009 02:56pm EDT UPDATE 3-Sprint to buy Virgin Mobile USA Tuesday, 28 Jul 2009 02:55pm EDT Editor's Choice Slideshow A selection of our best photos from the past 24 hours. Slideshow Most Popular on Reuters Articles Video White House, CBO see budget deficits for years ahead Fidel Castro says racist right-wingers fight Obama UPDATE 3-Obama to name Bernanke to 2nd term as Fed chief Jessica Biel tops list as most risky star in cyberspace Africa wants $67 bln a year in global warming funds Factory workers bare all to save jobs Europe's Saharan power plan: miracle or mirage? Sugar guidelines could hurt soft drink firms Obama renominates Bernanke as Fed chief Coroner says Jackson died from lethal dose of propofol | Video Most Popular Articles RSS Feed Video Rogue wave kills child Propofol OD killed Jackson -coroner Probe ordered into prisoner abuse Bus crash in Peru kills 22 Second South Korea space setback Afghan journalist killed in Pakistan Three dead in Israel tunnel attack Greek govt under fire over wildfires Minister defends al-Megrahi release Planes battle Greece wildfires Most Popular Videos RSS Feed Technology Are gamers old, fat and sad? 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