WiMAX Makes Progress in Developing Countries

Emerging Markets and demand for basic internet connectivity pave the way for WiMAX deployments. Advantages of deploying services and applications over all IP data architecture.

Many anlaysts (including this one) have long had the opinion that developing countries would represent the largest market for WiMAX.  The lack of wire-line infrastructure, business' need for broadband Internet service, and the increased availability of low cost PCs have created a huge pent up demand for broadband wireless access (BWA) in developing countries.  At this time, the developing countries urgently need fixed broadband wireless access to grow and this need is being met by operators deploying IEEE 802.16-2005 (AKA "16e" or "mobile WiMAX").  We continue to see this theme playing out each week with new deployment announcements.  Recently, new WiMAX deployments have been announced in Costa Rica while steady inroads have been made throughout Africa.

Last week, Costa Rica's Instituto Costarricense de Electricidad (ICE) -Costa Rica's leading incumbent operator for telecommunications and electricity- awarded a $6 million contract to Alvarion Ltd (Tel Aviv, Israel) to implement a complete broadband wireless project using "mobile WiMAX" in the 2.5 GHz frequency band. 

Under the agreement, Alvarion will use its 4Motion solution with a WiMAX Forum Certified (TM) BreezeMAX 2500 platform for advanced broadband services.  4Motion offers value-added "Personal Broadband" services for both business and residential BWA customers.  The network will initially be deployed in San Jose (capital city) and the rural areas of Limon.  Alvarion will provide ICE with thousands of CPEs (customer premises equipment), radio planning, system integration and configuration support, maintenance services at customer premises, training courses, and other assistance.  Israel based Telerad is Alvarion's local partner for this project. 

This past November, Alvarion decided to create WiMax Zone Rapid Deployment Kits to enable carriers to deploy broadband services in small and medium-sized emerging market areas, consistent with Intel's World Ahead Program initiative.

A recent article asserts that WiMAX has gained significant market traction in Africa.  Alvarion estimates that there are over 100 installed WiMAX systems in Africa with more than 45 of these operating in unlicensed spectrum and over 55 in 2.X or 3.X GHz spectrum.  Newer systems are said to be licensed in the 2.X spectrum.  While Alvarion has dominated the African WiMAX equipment market, plenty of other WiMAX vendors have sold into that market.  The list includes: Telsima, ZTE, Huawei, Soma Networks, Smart Link Communication, Galaxia Telecom, Redline Communications and Airspan Networks.

Namibian incumbent Telecom Namibia was initially using WiMAX for fixed wireless voice to a farming area with a dispersed population of between 3-5,000 people.  But now it is trying to persuade its customers to also use WiMAX for Internet access.  Another major African mobile operator (unspecified) has a household CPE product that will support fixed wireless VoIP over WiMAX and is offering that wherever VoIP is legal.  Comparing WiMAX to 3G data technologies, David Levy, General Manager-Africa and the Middle East at Alvarion states: "You need to use something like WiMAX because it's easier to add services on top.  HSDPA is not a long-term usage, mobile-based IP technology."

Expect to see more WiMAX deployments in emerging markets that combine fixed broadband Internet access with voice services (VoIP over WiMAX).

Alan Weissberger


 

Monday, December 22, 2008 in Business  | Permalink |  Comments (1)