Internet site Unstrung reported on Thursday that Austrian service provider WiMAX Telecom GmbH would invest €70 million ($85 million) in a fixed wireless 802.16 network based on equipment from Alvarion (Nasdaq: ALVR; TASE: ALVR).
Unstrung said that, in January, WiMAX Telecom announced it had paid €160,000 ($194,000) for a nationwide 3.5GHz license in Austria, and that last week it spoke of plans to launch 60 base stations by the end of this year
WiMAX Telecom is a subsidiary of Swiss company WiMAX Telecom AG. It was founded by Werner Kastzler, former CEO of Telekom Austria and Ericsson Austria, and Dov Bar-Gera, founder of surfEU, RSLCom Austria and Airpage.
Unstrung reports Ben-Gera as saying that the company is on the verge of purchasing broadband wireless equipment from Alcatel (NYSE: ALA).
Alvarion shares closed at $10.66 on Friday, giving the company a market cap of $574 million.
Published by Globes [online], Israel business news - www.globes.co.il - on June 19, 2005