Things have not been looking good for Clearwire. Sprint refused to pay off the company’s debt despite owning more than half the stakes in the company. Both their Chairman and CEO have recently resigned, and the company is sitting on a rather large debt…and they may be adding to that shortly. Users are now suing Clearwire for false advertising. Users are claiming that, despite what Clearwire advertised, their data speeds are being throttled. According to Ars Technica:
“Usage is unlimited—believe it. You can upload, download, and surf as much as you want for one low price with any of the CLEAR Internet plans. We don’t slow down your connection—the way some Internet providers do—if we think you are using too much bandwidth,” the complaint quotes from Clearwire’s website. (That text appears to have been removed at the time of publication).”
The suit claims that Clearwire misled its consumers in order to build up its consumer base. Some users have complained home speeds as bad as 256Kbps, way smaller than Clearwire’s claim of Wimax’s capability of 40 Mbps. With LTE being heavily touted by Verizon, Clearwire needs to get its act together quickly to prevent losing its user base before the 4G war really gets going.
[Via IntoMobile]