Overland Park, Kan. — Sprint Nextel has plans to enter into the cloud services business before the end of the year.

Like Verizon and AT&T who already offer their own cloud services, the company will provide small and medium-sized businesses and large corporations with hosted collaboration services such as internet hosting and security applications, and will sell its infrastructure as a service for purchase in an on-demand model.

“The telcos are in a unique position because our business is centered around the cloud,” said Paget Alves, head of Sprint’s business markets, told CNET in an interview. “There’s quite a bit of demand. It’s the No. 1 topic of conversation with [chief information officers].”

Unlike Verizon, which acquired Terremark for $1.4 billion to get into the cloud service earlier this year, Sprint Nextel will offer services utilizing its own capacity from its data center.

In the meantime, Sprint Nextel has plans to extend its Sprint ID program despite consumer’s apparent lack of interest in the service that bundles a number of applications with a set theme such as Walt Disney or ESPN.

Related Links: (CNET)