Document Actions
3.65 GHz is not Wi-Fi
Many might confuse "non-exclusive access" with "unlicensed".
The FCC's recent Report and Order opening 3.65
GHz as "non-exclusive access" might have many potential WiMAX operators equating
it with unlicensed spectrum such as 2.4 or 5.8 GHz. While it is true that 3.65
GHz use will not enjoy the protections of a licensed spectrum, there are a
number of differentiators.
First, a WiMAX base station costs about $10,000. This presents, relative to
Wi-Fi operations, a high barrier to entry. Competing users for the spectrum will
be limited to the better financed end of the market spectrum. That is, hobbyists
are largely eliminated. That might also include "community" operations operated
and funded by volunteers. Small businesses running private networks might also
be eliminated from use of this spectrum given the cost of the base stations and
the need to show some RoI on the investment in $10,000 base stations as compared
with Wi-Fi access points at $500 or less a piece.
The Report and Order also requires registering those $10,000 base stations with
the FCC's ULS database. While the Report and Order doesn't say this, I think the
FCC is passing the enforcement portion of their responsibilities over to civil
courts. I have long heard the loud lament of WISPs decrying the complete lack of
interest the FCC has had on shutting down 2.4 GHz (unlicensed) operators who
exceed legal power limits. I think that the FCC thinks that operators who won't
work and play well with others on 3.65 GHz will find themselves in a civil
lawsuit as operators who do play by the rules (file with the FCC, stay within
power limits, etc) can show damages to their operations from rogue operators and
can sue accordingly. Sounds difficult doesn't it? But then so is waiting for FCC
enforcement on violations of one's multi-million dollar licensed spectrum.
One significant upside to the 3.65 GHz ruling is that the quest for a nationwide
footprint is largely possible for service providers or consortia of service
providers save for some questions regarding the proximity to satellite earth
stations. Sprint Nextel and Clearwire, you heard it hear first, will never have
a nationwide footprint, given the difficulty in acquiring the appropriate 2.5
GHz spectrum coast to coast, border to border and then some. I predict a Boingo-like
play where one can buy into a nationwide roaming agreement for 3.65 GHz WiMAX.
Ditto for "pay-by-the-day" services similar to those found in airports and
hotspots. Opportunities for smaller operators to deploy base stations and
collect on roaming, "pay-by-the-day" and advertising revenues (all plays
borrowed from Wi-Fi) will do just fine.
Frank Ohrtman
WiMAX Systems
_____
tags:
