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The business of wimax - Pareek D.

Pareek D. The business of wimax - Wiley publishing , 2006. - 330 p.
ISBN-10 0-470-02691
Download (direct link): thebusinessof2006.pdf
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The fourth and perhaps the most unproven reason for migration to NGN implementation is the ability of these new networks to support rapid introduction of new and different services. Consistent with the characteristics of Internet applications, however, this ‘promise’ has yet to be realized simply because NGNs are still in their infancy. If Internet technologies (NG HTML, DNS, LDAP etc.) are effectively used, rapid, innovative services may prove to be the most compelling reason for NGNs. Regardless of the level of NGN ‘integration’ into today’s existing circuit switched networks, benefits will be realized. However, as the NGN technologies mature and are deployed, the more complete the move to NGNs, the more substantial will be the benefits.
PART Three
WiMAX Business
7
WiMAX Markets
Perhaps even before the phrase ‘digital divide’ was coined, the telecom industry was searching for a cost-effective way to bridge the gap between the ‘haves’ and ‘have nots’, making broadband services accessible to all.
Although broadband wireless is not an entirely new technology, the evolution to a standards-based, interoperable, carrier-class solution gives WiMAX the capability needed to drive wide-scale deployment.
WiMAX holds the promise of delivering broadband services on a ubiquitous scale to these underserved markets, which can be a rural landscape in advanced and developed countries like the USA or an urban setting in a least-developed nation like Ghana or Vanuatu.
7.1 MARKET DYNAMICS
WiMAX will succeed globally, albeit unevenly. It will succeed in every geographic market, but for different reasons. In emerging markets, operators are interested in using WiMAX for low-cost voice transport and delivery. In developed markets, WiMAX is all about broadband Internet access.
Overall, the markets without any fixed infrastructure pose the greatest opportunities. WiMAX will become a disruptively inexpensive means of delivering high-speed data. As the distinctions between fixed and mobile services blur, a chaotic mix of large, fixed and wireless providers will pursue WiMAX deployments.
The Business of WiMAX Deepak Pareek © 2006 John Wiley & Sons, Ltd
162
WiMAX MARKETS
The local and regional wireless ISPs are likely to be acquired as large carriers, particularly fixed carriers, turn their attention to rural areas and enterprise accounts. For example, in the USA we have seen ISPs compete successfully in moving enterprises from T1 lines to wireless lines; fixed carriers will eventually be forced to respond, either through similar deployments or through acquisition.
The reasons behind wireless deployments are as diverse as the wireless technologies being offered today. Each wireless technology is designed to serve a specific usage segment:
• personal area networks;
• local area networks;
• metropolitan area networks;
• wide area networks.
The requirements for each usage segment are based on a variety of variables, including:
• bandwidth needs;
• distance needs;
• power;
• user location;
• services offered;
• network ownership.
Optimized applications exist for each usage segment.
7.2 MARKET TYPES
Nearly two-thirds of the planet’s people are in the underdeveloped world. Most companies are serving at best one-third of the world population and fiercely competing over saturated markets. Yet many corporate managers now realize that stepping up their company’s presence in developing countries will be crucial to their long-term competitiveness and success.
For a large number of countries and for a large percentage of the world population, the telecommunication infrastructure is undeveloped; low-income economies in the world have an average of 1.97 main lines per 100 inhabitants and the lower-middle-income economies 9.17 main
MARKET TYPES
163
lines per 100 inhabitants in contrast to 47 main lines per 100 inhabitants in the developed world.
Economic development and growth requires a level of infrastructure which many countries in the world simply do not have. A certain level of economic advancement and industrial progress is generally required to alleviate poor social conditions for any meaningful period in the modern world. Where some basic infrastructure does exist and certain services do operate, the operation of such infrastructure is sometimes below the level necessary to enable sustainable socioeconomic development. Let us understand what is meant by developed and underdeveloped markets.
Developed Markets
Development in human society is a many-sided process. At the level of the individual, it implies increased skill and capacity, greater freedom, creativity, self-discipline, responsibility and material well-being. Some of these are virtually moral categories and are difficult to evaluate, depending as they do on the age in which one lives, one’s class origins and one’s personal code of what is right and what is wrong. However, what is indisputable is that the achievement of any of those aspects of personal development is very much tied in with the state of the society as a whole.
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