Reston, Va. - Unable to agree on the final terms of a deal, wireless giant Sprint Nextel said on Friday that it has scrapped its plan to jointly build its nationwide high-speed WiMax network with telecommunications firm Clearwire.

The two companies had agreed to team on the massive project in July, but failed to "resolve complexities" associated with the deal and couldn't agree on terms, Sprint Nextel said.

The Wall Street Journal reported that last month's departure of Sprint Nextel CEO Gary Forsee also complicated matters.

Sprint Nextel said that it remains on track to initially launch the service -- which promises wireless Internet speeds comparable to cable Internet -- by year's end in Baltimore, Washington and Chicago, with plans to roll it out nationwide in 2008.

Still, in light of the announcement, the company said that it is "reviewing its WiMax business plans and outlook."

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