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Wimax’s future: not rosy

p2p news / p2pnet: Long distance Wimax is widely touted as the one to beat both Wi-Fi and third-generation mobile networks, says the BBC.

But although it may find niche uses such as in remote areas, according to the OECD (Organisation for Economic Co-operation and Development), regulatory, security and spectrum problems mean it isn’t guaranteed a rosy future.

Because Wimax can provide broadband speeds to a relatively large population of users, it’s been, "widely promoted as the ‘proper’ replacement for wi-fi which offers higher speeds but typically only over a few tens of metres," says the story.

"In particular, said the report, chip giant Intel described Wimax as a ‘disruptive’ technology that has the potential to upset the business models of both mobile phone firms and traditional net suppliers."

But the OECD takes a more cautious line, "citing the early promise of wireless local loop services in the late 1990s that were supposed to sound the death knell for traditional telephone operators," the BBC states, going on:

"Third-generation mobile operators have incurred great expense to roll out new networks and the prospect of starting again with a new Wimax network is not appealing," wrote the authors. By contrast, it said, mobile operators were more likely to upgrade their existing networks with technologies such as High Speed Downlink Packet Access."

Moreover, the OECD report stresses that access to the radio spectrum Wimax uses isn’t universal and some parts are reserved in some countries, or there are restrictions on how they can be used.

Nonetheless, Wimax may, “find a role as a service that can reach rural and remote areas where it is too expensive to run cables or upgrade exchanges to support broadband,” adds the BBC.

Also See:
BBC - Doubts raised over Wimax’s future, March 14, 2006

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