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Explore the world of WiMAX in rural America, uncovering the benefits and challenges faced in its adoption. Learn about the spectrum allocation, major players in the ecosystem, historical drivers, and key milestones in the evolution of WiMAX technology.
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WiMAX Adoption in Rural Areas Charles A. (Chip) SpannWireless Business Analystcspann@connectednation.orgwww.connectednation.org
WiMAX: What Is It? • Worldwide Interoperability for Microwave Access • 3G wireless service – based on 802.16 standards • which include both fixed and mobile capabilities • Common misnomer: “WiFi on steroids” • Ideally suited for most rural deployments
WiMax Adoption in Rural America Pros and Cons Pros: • Cost effective “last mile” solution • Single base station can cover large areas • They make great WiMAX “laboratories” • Equipment is also available for unlicensed bands Cons: • Limited vertical assets (elevated water tanks, etc.) • Many small towns are in mountainous areas (WV, KY, AR) • Excessive windshield time when encountering truck rolls
Who’s On First? 1st “known” mobile WiMAX system launched by AT&T in Pahrump, NV using WCS spectrum – Nov. 2006 AT&T soft launches additional markets (Juneau, AK) – Aug. 2007 1st “claimed” mobile WiMAX system launched by Digital Bridge Communications in Jackson Hole, WY using BRS/EBS spectrum – July 2008 Large scale launch announced by Sprint (Xohm) in Baltimore, MD using BRS/EBS spectrum – Sept. 2008 Clearwire launches 54 “pre-WiMax” markets, acquires almost everyone, sets stage for national deployment.
BRS Spectrum: What Took So Long To Launch? • 1990 – 2000: Addition of PSAs, Digital and Two Rules 2001: Mobility allocation 2004: Cellular ability 2005: Transition mandate • De Facto Lease Agreements 2006: Transitions commence
BRS History at a Glance: Key Drivers 1997: BellSouth enters market 1999: Sprint and Worldcom enter market 2003: Nucentrix & Worldcom bankruptcies (Sprint allows leases to lapse, 2006 BellSouth does same) 2004: Clearwire enters the market 2004: Nextel acquires assets from Nucentrix & Worldcom bankruptcies for $200 million • 2004: Operators begin paying licensees based on spectrum values – not per subscriber/per channel or gross recurring revenue 2005: Sprint/Nextel merger • 2006: BellSouth – AT&T merger approved with divestiture condition
BRS History at a Glance: Key Drivers (cont.) 2006: Intel and Motorola invest $1B in Clearwire 2006: Sprint and Clearwire push WiMAX standards 2006: Spectrum transitions commence 2006: AWS auction price per MHz/POP • 2006: BellSouth – AT&T merger with divestiture condition • 2007: 700 MHz auction • 2007: Clearwire acquires BRS/EBS from BellSouth • 2008: Clearwire and Sprint/Nextel merge wireless portfolio to create “New Clearwire” – $3.2 billion invested from “partners”
WiMAX: Players to Watch Vendors: Vecima, Alvarion, Redline, Motorola, Intel Operators: New Clearwire, DigitalBridge and . . . just about any rural WISP with an entrepreneurial spirit!