Free Newsletter
Two FCC decisions could have major impact on WiMAX
Two decisions from the FCC have given WiMAX life in the U.S. and may pave the way for quite a substantial WiMAX footprint across the US. Not only did the commission approve the merger between Sprint's WiMAX business and Clearwire, which plans to roll out WiMAX in major markets, but it also gave its blessing to Globalstar's desire to offer WiMAX to rural communities. (See story No. 3)
In fact, we could see WiMAX playing a vital role in reviving the MSS industry as well as MSS players pushing the footprint of WiMAX. Many MSS operators are banking their survival on incorporating an ancillary terrestrial component (ATC) that would solve a fundamental problem plaguing their industry: operators' inability to penetrate buildings with satellite signals. That technical shortfall has had a tremendous constraint on demand and resulted in higher operating and equipment costs.
Globalstar has won approval from the FCC to incorporate WiMAX in the ATC with the help of terrestrial partner Open Range Communication. The two will offer WiMAX to more than 500 rural communities--with the help of a $267 million loan from the Department of Agriculture's Rural Development Utilities Program. Globalstar said it will be looking for other partners too.
There are more moves afoot among more MSS players. Clearwire announced a joint agreement with satellite company ICO Global Communications, which launched its ICO G1 satellite in April, a year ago to collaborate on a mobile video trial that began this year. The trial is focusing on increasing the value and cost effectiveness of delivering advanced interactive mobile video services. Craig McCaw, who founded Clearwire, owns a 75-percent voting interest in ICO, which has a new business model revolving around delivering mobile video and interactive navigation services to consumers.
Also last year, Mobile Satellite Ventures (MSV) teamed with Nortel to deploy a trial integrated WiMAX and satellite broadband service. MSV doesn't have a terrestrial partner at this point but the company is looking for one, whether that's a WiMAX or an LTE operator.
If Globalstar makes headway with its WiMAX plans, I suspect we'll see the MSS industry play a significant and surprising role in the proliferation of not only WiMAX but LTE too.--Lynnette
P.S. - Check out our Sound Off featuring industry players debating the other FCC decision on White space...
Comments (3) | Post a comment
Comments
Posted by Jay C | November 6, 2008 - 5:35pm
While I am skeptical of Open Range's ability to have much success with their WiMAX network on 10 MHz of Globalstar's ATC spectrum, there is hope. But I think that the white spaces decision may have a more significant role in WiMAX proliferation that the Globalstar decision. If white spaces devices can operate at higher power for fixed uses, fixed WiMAX service especially in rural areas may start to see life. I'm not sure about the power levels, but Motorola's Steve Sharkey believed a single access point could cover 50 miles. Intel's WiMAX head stated that technically WiMAX can operate in the white spaces spectrum, though they didn't have plans to do that yet. It will be interesting to see how companies develop plans to utilize the white spaces. I think a fixed WiMAX service could be a cost-effective way to provide rural broadband..if they can figure out how to provide backhaul that is.
Posted by Quemann | November 7, 2008 - 9:53pm
There'll be a lo more synergizing ingredients to add up in the next two years' span, when it comes to wireless broadband. Market researchers and analysts will make some bucks while they're making a hectic comparison between WiMAX and LTE.
Eventually, LTE will most likely be integrated into WiMAX, as indicated by the recent partnership between Intel and Ericsson regarding HSPA, which can only work as a pontoon bridge leading to 4G technology like WiMAX.
Posted by Anonymous | November 10, 2008 - 4:56pm
will the FCC allow WiMAX service to provide voice and data, or data only services in the 2.5 range? Please cite a source if you have one. thanks!
