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Once the accountants and lawyers have their way with the process, the merged entity should be a $12 billion venture building the WiMax network that Sprint promised in 2007. WiMax offers 10Mbit connections over its range, according to Wikipedia, with faster speeds available at shorter distances.

The Wall Street Journal listed several firms backing Sprint's efforts. Google and Intel on the tech side, and Comcast and Time Warner from the cable world, will pump $3.2 billion into the combined Clearwire business.

Google signed on to Sprint's plans last year. The search advertising company inked a deal to provide the central portal Sprint customers will land on when signing in to Xohm. Google's aspirations in the mobile market also include the software side of wireless devices, as the company pushes its Android platform for those developers.

"The deal finally gives Sprint the outside cash they needed, and gives Time Warner Cable, Comcast and Brighthouse Networks the ability to resell 4G wireless broadband," said BroadbandReports. "The deal was supposed to be announced in April, but the complicated negotiation process took longer than expected."

Om Malik suggested a little bit of panic motivated this deal. "The cable companies, Google and Sprint are all playing from a position of fear," he said, and also noted the Xohm name would vanish in favor of Clearwire's brand.

The competition from wireless giants AT&T and Verizon probably provided that fear. Both companies want to expand what they offer customers as they too ready next-generation high-speed wireless services. Sprint may be rushing to stake out ground first and grab some market share ahead of them.