Craig McCaw

Craig McCaw
Craig McCaw
Born	August 11, 1949 (age 77); Seattle, Washington, U.S.
Occupation(s)	Entrepreneur, businessman
Known for	Founder of McCaw Cellular, Clearwire Corporation

Craig McCaw (born August 11, 1949) is an American entrepreneur and businessman recognized as a trailblazer in the cellular phone sector. He established McCaw Cellular (currently part of AT&T Mobility) and Clearwire Corporation (now integrated into T-Mobile through Sprint).

Early life and cable television origins

McCaw is the second eldest among four sons born to Marion and J. Elroy McCaw. Growing up in an affluent neighborhood in Seattle, he attended the prestigious Lakeside School, later honored with its Distinguished Alumni Award. His father, a prominent figure in broadcasting, owned Gotham Broadcasting Corporation, which managed notable radio stations such as WINS. Elroy McCaw amassed wealth by trading TV and radio stations but also incurred substantial liabilities. During the 1960s, he ventured into the cable television industry; his sons contributed by working as linemen and sales representatives.

Following Elroy McCaw’s passing in 1969, only a modest cable operation located in Centralia, Washington—serving between 2,000 and 4,000 subscribers—remained unsold to satisfy outstanding debts. While studying at Stanford University, Craig joined the Delta Kappa Epsilon fraternity and assumed control of this cable company during his final year. He expanded the business by acquiring distant cable systems, ultimately creating a profitable enterprise. By the 1980s, McCaw Cablevision had become the 20th largest cable operator nationwide.

Cellular phone industry involvement

The early 1980s brought new prospects through FCC cellular license lotteries. McCaw capitalized on this by purchasing undervalued cellular rights from lottery recipients and financed growth by leveraging his cable holdings.

In 1986, after acquiring MCI’s cellular division, the McCaw brothers divested their cable assets to Cooke Cablevision (now part of Comcast) to concentrate exclusively on cellular ventures. By 1990, McCaw had become the highest-compensated CEO in the United States.

In 1994, they sold McCaw Cellular to AT&T Corporation for $11.5 billion; it was subsequently renamed AT&T Wireless and later acquired by Cingular in 2004 to create the largest wireless carrier in the U.S.

Following this sale, McCaw invested heavily in the struggling wireless company Nextel, securing controlling interest by 1995 with $1.1 billion contributed by him and his brothers. Nextel experienced rapid growth, serving 3.6 million customers across the U.S. and operating in ten major international markets. In 1999, McCaw founded Nextel Partners, which was purchased by Sprint Nextel for $6.5 billion in 2006 after Nextel merged with Sprint for $36 billion in 2005.

Subsequent enterprises

Later that same year, McCaw launched NEXTLINK Communications to enter the broadband and internet service provider sectors. In 2000, it merged with Concentric Network and was rebranded as XO Communications, which filed for bankruptcy protection in 2002.

In 1994, McCaw collaborated with Bill Gates to initiate Teledesic, an ambitious project aiming to deploy a broadband satellite network consisting of hundreds of low Earth orbit satellites. However, by 2002 Teledesic ceased satellite production and sold its spectrum licenses in 2003.

In 2000, McCaw invested in New ICO, a reorganized form of ICO Global Communications—a mobile-satellite service (MSS) firm—but its envisioned satellite constellation was never realized.

In August 2004, McCaw founded Clearwire Corporation to deliver wireless broadband Internet services across various U.S. regions ranging from metropolitan centers to rural communities. By late 2007, Clearwire operated in 46 U.S. markets as well as four European countries.

McCaw served as Clearwire’s Chairman until December 31, 2010, emphasizing the company's dedication to fulfilling unmet demands within the market.

In November 2008, Clearwire combined its next-generation wireless broadband operations with Sprint’s under the Clearwire name. Sprint contributed its 2.5 GHz spectrum holdings and WiMAX assets, including XOHM. The deal included a $3.2 billion cash infusion from Comcast, Intel, Time Warner Cable, Google, and Bright House Networks.

The merged entity was publicly traded on the NASDAQ under the ticker CLWR. McCaw underscored mobile Internet’s transformative potential to revolutionize communication across the U.S., offering rapid broadband connectivity on any device.

In January 2009, Clearwire launched its inaugural 4G WiMAX network in Portland, Oregon, becoming the second city after Baltimore to have genuine broadband speeds. By the close of 2010, Clearwire had expanded coverage to 71 U.S. markets reaching over 110 million people.

Political involvement

McCaw is recognized as a significant contributor to the Republican Party and acted as a 'bundler' during Mitt Romney's 2012 presidential campaign. His political support has also extended to figures such as Jon Huntsman, John McCain, and George W. Bush. In 2012, he made a $500,000 donation to American Crossroads.

Personal background

Between 1993 and 2002, McCaw was a founding benefactor of the Free Willy Foundation, donating $2 million to aid in the liberation of the orca Keiko back into its natural habitat.

He was formerly married to Wendy McCaw, a publisher of a California newspaper; their marriage ended in divorce in 1997. Subsequently, he married Susan Rasinski McCaw, an investment banker who also served as the U.S. Ambassador to Austria. Together, they have three children: Chase, Julia, and Reid McCaw.

In 1999, McCaw acquired a property in Hunts Point, Washington, purchasing it from musician Kenny G.

As of October 2022, McCaw holds positions on the Board of Overseers at the Hoover Institution and serves on the boards of The Nature Conservancy, the Horatio Alger Association of Distinguished Americans, and the Friends of Nelson Mandela Foundation. He presides over the Craig and Susan McCaw Foundation, which supports initiatives in education, environmental conservation, and international economic development. His previous board memberships include Conservation International, the Grameen Technology Center, the National Security Telecommunications Advisory Committee, and the Academy of Achievement.

A passionate automobile enthusiast, McCaw once collected approximately 400 vehicles alongside his brother Bruce. In 2012, he set a record by purchasing a 1962 Ferrari 250 GTO for $35 million. This particular car was originally constructed for Stirling Moss and competed in the 1962 24 Hours of Le Mans driven by Innes Ireland and Masten Gregory.

By 2016, Craig McCaw was no longer featured on the Forbes 400 list of America's wealthiest individuals.

Awards and recognitions

1989 – Golden Plate Award from the American Academy of Achievement
2000 – Inducted into the Wireless Hall of Fame
2007 – Honored as Visionary by Silicon Valley Forum

External links