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NEW YORK (Reuters) - Sprint Nextel (S.N: Quote, Profile, Research, Stock Buzz) is in talks to sell its iDen wireless network to either NII Holdings Inc (NIHD.O: Quote, Profile, Research, Stock Buzz) or private theoretical investors, according to CNBC.

CNBC said on Friday that a auction of the network, which is used by public safety and construction workers, was not expected any time soon and did not name any sources for the report.

The news comes a day after the embattled No. 3 U.S. wireless service canceled a $3 billion convertible sale it had announced the day before.

Sprint and NII were not immediately available for remark.

The report pushed Sprint shares up 6 percent, while NII shares were down about 1 percent.

Analysts say a sale of the network, which it bought from Nextel Communications in August 2005, would exist pose regulatory and operational difficulties as it has been closely integrated with Sprint’s existing operations.

But they said Sprint, which is struggling to stem customer losses amid service problems, is looking at all options to improve its financial performance.

“Every piece of the business is with regard to sale at a certain price as it should be now because they continue to struggle,” said Stifel Nicolaus analyst Chris King.

Latin American service provider NII is one of the few operators around the world that uses the iDen technology, making it a logical candidate for an investment in the Sprint network.