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From the News Desk
Friday, 8. December 2006
Can WiMAX challenge 3G?
Research and Markets has conducted a survey, 'Can WiMAX Challenge 3G? Performance, Economics, and Opportunities' that reads 78 per cent of operators stated that they have considered investing in WiMAX.
WiMAX has gained significant momentum over the last year. Its standardisation is complete, vendor and operator ecosystems are expanding, and the hype is getting louder. In this report, looks at real-world examples of pre-WiMAX deployments and review practical issues such as time-to-market, business models and pricing, device availability, economics of scale and spectrum availability, with an emphasis on a number of key questions, most notably, can WiMAX challenge 3G?
Carriers are investing heavily into 3G networks, and will continue to do so as these networks evolve toward 4G over the next several years. However, a new study by ABI Research indicates that cellular technologies used in isolation might not be the best route for maximising margins. Instead, WiMAX or Metropolitan Wi-Fi could offer a way out of the dilemma.
Principal analyst of Research and Markets Stuart Carlaw explains, "As soon as data consumption reaches between two and three times today's levels, a tipping point is reached, at which cell shrinkage and capacity degradation for WCDMA and CDMA2000 networks mean that carriers will need to install extra network elements that support the subscriber base, at considerable expense." He adds that, "More importantly, the power consumption required to support these upgrades will destroy any potential benefit carriers see from data revenues."
The study found that from a conceptual perspective - such mixed networks are still in their infancy - the best way to support mobile broadband will be to integrate current cellular offerings with targeted WiMAX and Metro Wi-Fi deployments in dense high traffic areas.
Such mixed networks could deliver significant savings. ABI Research forecasts that in terms of power consumption OPEX, by 2011 the cost of delivering wireless services to WCDMA customers will be near USD 14 per annum, while Metro Wi-Fi will be as low as just over USD 1.
Some wireless operators are already laying the groundwork for these developments. Sprint has nominated WiMAX as its 4G technology of choice, while T-Mobile is moving toward integration of its Wi-Fi hotspot and cellular networks. Others, such as Vodafone, with businesses based solely on cellular, may find themselves at a real disadvantage unless they act fast to consider other technologies.
A ABI Research study, "Energy Efficiency Analysis for Mobile Broadband Networks," provides a theoretical and real-world analysis of the relative costs of deploying WCDMA, HSDPA, CDMA2000 1XRTT, EVDO, WiMAX and Municipal Wi-Fi.
WiMAX has gained significant momentum over the last year. Its standardisation is complete, vendor and operator ecosystems are expanding, and the hype is getting louder. In this report, looks at real-world examples of pre-WiMAX deployments and review practical issues such as time-to-market, business models and pricing, device availability, economics of scale and spectrum availability, with an emphasis on a number of key questions, most notably, can WiMAX challenge 3G?
Carriers are investing heavily into 3G networks, and will continue to do so as these networks evolve toward 4G over the next several years. However, a new study by ABI Research indicates that cellular technologies used in isolation might not be the best route for maximising margins. Instead, WiMAX or Metropolitan Wi-Fi could offer a way out of the dilemma.
Principal analyst of Research and Markets Stuart Carlaw explains, "As soon as data consumption reaches between two and three times today's levels, a tipping point is reached, at which cell shrinkage and capacity degradation for WCDMA and CDMA2000 networks mean that carriers will need to install extra network elements that support the subscriber base, at considerable expense." He adds that, "More importantly, the power consumption required to support these upgrades will destroy any potential benefit carriers see from data revenues."
The study found that from a conceptual perspective - such mixed networks are still in their infancy - the best way to support mobile broadband will be to integrate current cellular offerings with targeted WiMAX and Metro Wi-Fi deployments in dense high traffic areas.
Such mixed networks could deliver significant savings. ABI Research forecasts that in terms of power consumption OPEX, by 2011 the cost of delivering wireless services to WCDMA customers will be near USD 14 per annum, while Metro Wi-Fi will be as low as just over USD 1.
Some wireless operators are already laying the groundwork for these developments. Sprint has nominated WiMAX as its 4G technology of choice, while T-Mobile is moving toward integration of its Wi-Fi hotspot and cellular networks. Others, such as Vodafone, with businesses based solely on cellular, may find themselves at a real disadvantage unless they act fast to consider other technologies.
A ABI Research study, "Energy Efficiency Analysis for Mobile Broadband Networks," provides a theoretical and real-world analysis of the relative costs of deploying WCDMA, HSDPA, CDMA2000 1XRTT, EVDO, WiMAX and Municipal Wi-Fi.
