The collapse is a blow to Clearwire, whose losses have swelled for at least three years amid efforts to build a national network. The company, which sold shares to the public in March to help fund construction, said today that third-quarter sales totaled $41.3 million, less than 100th of Sprint's.

``The Sprint deal was really good for Clearwire, and it's bad that they lost that,'' said Jonathan Schildkraut, an analyst at Jefferies & Co. in New York. ``Clearwire will have to shoulder a bigger burden to get broader network coverage.'' He recommends investors buy Clearwire shares and doesn't own any.

Clearwire, based in Kirkland, Washington, dropped $4.54 to $13.49 at 4 p.m. New York time in Nasdaq Stock Market trading, the most since the initial public offering. Sprint slumped 23 cents to $16.31 on the New York Stock Exchange.

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