Wireless

Clearwire Communications has created a sandbox more than 20 square miles in size where developers can play with WiMax.

Clearwire announced on Tuesday the launch of the largest test area yet for its 4G WiMax service in Silicon Valley. Covering a wide area from Santa Clara to Mountain View to parts of Palo Alto, the company's Clear 4G WiMAX Innovation Network will let developers test the mobile broadband network on a large scale.

First announced in April by Clearwire, the Clear 4G WiMAX Innovation Network is seen as a testbed to prepare for the launch of commercial WiMax service in the San Francisco Bay area next year.

The 20-square-mile service will hit the campuses of Intel and Google, two investors of Clearwire's 4G WiMax network who've already begun their own own internal 4G testing. Cisco Systems, which will provide equipment to Clearwire, will get coverage in a few months as the network grows.

To play in the new WiMax sandbox, developers must register with Clearwire's development program and describe the WiMax ideas they'd like to pursue. Developers would also need to buy a Clearwire WiMAX USB modem for $49.99. Clearwire says it will provide the service for free to a limited number of qualified developers prior to the commercial launch.

Clearwater will also join and help sponsor the Sprint Open Developer Conference running October 26 to 28 in Santa Clara. The company encourages developers working with Clear 4G WiMax to attend the conference to learn more about the service.

Clearwire touts its Clear 4G WiMax service as offering peak download speeds of up to 10 Mbps, with an average of 3 Mpbs to 6 Mbps. As a comparison, the company says that today's 3G networks can only reach speeds of about 600 kbps to 1.4 Mbps.

WiMax has faced tough competition from LTE for the battle to become the wireless 4G standard. Backed by AT&T and Verizon Wireless, LTE is sometimes forecast as the ultimate victor with potentially the more dominant share of the market. But WiMax is also expected to grow as deployments ramp up.

Intel has completed its purchase of Wind River, which builds software for smartphones and other devices.

The acquisition is costing Intel $11.50 a share in cash for a total price tag of around $884 million, Intel said Friday. Wind River is now a wholly owned subsidiary of Intel, reporting to the chipmaker's Software and Services Group.

By scooping up Wind River, Intel hopes to carve out a greater chunk of the mobile device market. Wind River designs operating systems and other software for cell phones, portable Internet devices, consumer electronics, and in-car "infotainment" systems. With such diverse customers as Sony, Verizon, Motorola, Boeing, and NASA, Wind River has its hooks in the automotive, aerospace, and telecommunications industries.

"The acquisition will deliver to Intel robust software capabilities in embedded systems and mobile devices, both important growth areas for the company," said Renee James, an Intel vice president and general manager of the company's Software and Services Group.

The purchase of Wind River also moves Intel further into software as an added source of revenue.

Though now owned by Intel, Wind River said it will continue to develop applications for its current customers. The company expects to pick up sales and new customers with access to Intel's technology, brand, and global sales force.

Intel first announced its decision to buy Wind River on June 4.

One element was striking in Tuesday's joint press release from Intel and Nokia: Symbian was not mentioned.

Symbian is the dominant operating system for smartphones with a 50 percent market share. Nokia has been using it for 10 years.

Instead, Nokia and Intel declared that they will "develop common technologies for use in the Moblin and Maemo platform projects."

Both are Linux-based platforms: Moblin is supported by Intel and Maemo is used by Nokia in its Internet Tablets such as N810 (the only modern touch-screen devices that Nokia made until it finally launched its touch-screen 5800 Xpress Music phone in October 2008).

Already in May, rumors had started that Nokia would ditch Symbian and go with Maemo in future smartphones.

The rumors were based on a several factors:

• Even though it is the dominant smartphone OS, Symbian is way behind Apple and iPhone in making users aware of applications. (Nokia acquired Symbian last year and transferred the code to the Symbian Foundation, which will transform it into open source.)

• Nokia has declared that the next generation of Maemo, Fremantle, or Maemo 5, will support 3G connectivity.

• In May, Intel and Nokia formed oFono, an open-source project for developing easy-to-use APIs for telephony applications, possibly to give Maemo voice and SMS capabilities.

• A future version of Maemo, Harmattan, allegedly will be put on at least one mobile phone, according to Mobile Crunch.

David Wood, the "futurist and catalyst" at the Symbian Foundation, responded to these rumors in a blog post last month. "To my mind, it makes perfect sense for phone companies to investigate at least two modern mobile operating systems," he wrote. "For example, Nokia is investigating Maemo (now coupled with oFono) in parallel to its main usage of the Symbian platform."

Clearly, Nokia and Intel have big plans for Linux-based devices. In Tuesday's statement they said they will "define a new mobile platform beyond today's smartphones, notebooks and netbooks."

It's also clear that from a hardware point of view, the two companies share many synergies. Apparently, Nokia intends to use Linux on jointly developed hardware, rather than Symbian.

This might be a future strategy to fight the strong competition coming from Apple and others in the smartphone market.

"I think Nokia might look at widening its Linux Maemo offering beyond its N800 family of products in order to differentiate itself in the high end", said Carolina Milanesi, research director for mobile devices at analyst firm Gartner.

This doesn't necessarily mean that Nokia will ditch Symbian altogether. More likely, Nokia will keep it in its lineup of midrange phones, as is actually the case today.

A glue holding the two systems together is the development environment Qt (pronounced "cute"), based on open-source code from Trolltech, a company that Nokia acquired in 2008. Qt will be used both in Symbian and Maemo and could offer a possibility for cross-developing applications.

One remaining question is whether the partnership with Intel can help Nokia match the huge advantage Apple has secured in applications awareness in consumers' minds.

Intel and Nokia have more than a few holes in their respective collections of mobile technologies. How far will the collaboration announced Tuesday go to plug the holes and take them to the next technology plane?

Intel senior vice president Anand Chandrasekher

(Credit: Intel)

A platitude easily missed in the announcement may be the most revealing statement. Simply, that the two companies create the opportunity to take advantage of each other's expertise.

Nokia makes mobile phones. Intel, the world's largest chipmaker, can't get its chips into mobile phones. On the other hand, Intel makes the silicon that powers the world's PCs. Nokia doesn't have a clue about PCs.

The announcement won't necessarily inspire confidence with its lack of product particulars, but that's not what it's about. "Today is a relationship announcement," said Jeff Orr, senior analyst for mobile devices at ABI Research.

Intel and Nokia are simply agreeing at this stage to collaborate rather than be direct competitors, according to Orr.

Nokia was clear--in a cryptic sort of way--on one point, however: "Today's collaboration is not about smartphones but creating a new class of devices," Kai Oistamo, executive vice president for devices at Nokia, said in a phone interview Tuesday.

Beyond those future devices--presumably powered by Intel silicon--what does Intel get? Initially, the most concrete thing is 3G. "This is a gap for Intel, which has focused on Bluetooth, Wi-Fi, and WiMax," Orr said. "As a result, when future architectures like an Atom platform are developed for MIDs (mobile Internet devices), Netbooks, smartphones, that means vendors will have more flexibility for connectivity."

In short, Intel can build 3G into its chipsets and Intel can compete more effectively in the future with products like the iPhone and Palm Pre that include 3G as standard. Intel-based notebooks and Netbooks, until recently, were rarely offered with 3G as a standard option.

"We're not talking about specific products today but certainly we would not have taken a license (from Nokia) if we didn't have the intention to build a product," Anand Chandrasekher, Intel senior vice president and general manager at the Ultra Mobility Group, said in a phone interview Tuesday, referring to Intel's licensing of Nokia's HSPA/3G modem technology.

And it may be too soon for 4G technologies like WiMax. There are many countries (ABI Research's Orr counts about 100) where 3G is just emerging, so talking about WiMax (a 4G technology) is "very premature for most countries," he said.

The venture capital arm of chipmaker Intel has announced an investment in Japanese WiMax company UQ Communications, which intends to provide coverage to most of Japan by 2012.

Intel Capital announced the $43 million investment on Sunday. Intel has long been a prime backer of the wide-range wireless technology, which it says has been deployed to varying extents in 135 countries.

"Intel Capital's investment in UQ Communications is one of our most significant commitments in developing the WiMax ecosystem around the globe," Intel Capital president Arvind Sodhani said in a statement. "UQ's WiMax deployment in Japan is a spectacular example of technology innovation being put to work."

UQ, whose network went live in February, is deploying the mobile variant of WiMax. The fixed version is already being offered in some areas of the U.K., but deployment of the mobile version--a candidate for the title of "4G"--is being held up by a lack of available spectrum.

When it goes to auction, the bulk of this spectrum--in the so-called "3G expansion band" around 2.6GHz--is expected to go to providers of rival technology LTE, but it is possible that some will be bought by a provider of mobile WiMax.

LTE has the backing of most of the incumbent mobile industry, but deployments are expected to lag behind mobile WiMax by a year or two.

David Meyer of ZDNet UK reported from London.

Intel's Medfield is the chip that will drive the chipmaker's smartphone strategy in 2011 and beyond, according to an Intel executive speaking recently at an Intel investor meeting.

Slides (accessible on Intel's Web site) shown by Anand Chandrasekher, general manager of Intel's Ultra Mobility Group, at last week's Intel investor meeting map out the road Intel will take to the mainstream smartphone market. (The slides were highlighted on technology sites such as Engadget and UMPC Portal).

Intel is taking a graduated approach to the smartphone market: the ultimate target is the mainstream smartphone

(Credit: Intel)

Intel's Medfield was first disclosed in December.

Chandrasekher showed a slide that put Medfield in the mainstream smartphone market by 2011 by reducing the size and power requirements of the chip. "We take the power down again using 32-nanometer (technology), we, of course, take the performance up using 32 nanometer. But we also consolidated everything onto one chip and shrink the form factor (smartphone design) down again," Chandrasekher said at the investor meeting, which was streamed over the Web.

"We got to get the power down so we can get all-day battery life and get the (chip) package (size) down," he said. "It's not going to be (that in) one generation we fix everything," he added.

Chandrasekher said Intel's biggest advantage in the mobile Internet device and smartphone market is the most obvious: Intel's x86 architecture that runs the world's PCs.

He also offered some updates for Moorestown, the chip that will precede Medfield. "Last year I said we're going to do better then 10X on platform idle power (reduction over the current Menlow technology) on Moorestown. Today, I'm telling you, for the first time outside the walls of Intel, we're going to do 50X better on idle power," he said. The idle power will be 20 milliwatts at the "platform level"--which refers to the idle power (or standby mode) of the actual device, such as a smartphone, not the just chip, according to Chandrasekher.

Chandrasekher also clarified that Taiwan Semiconductor Manufacturing Company will be making the "Langwell" half of the Moorestown silicon. "That second chip (Langwell) we manufacture on TSMC because there's a lot of that IP (intellectual property) sitting on TSMC today," he said.

For comparison, he showed a current Google Android-based phone that had idle power of 20 milliwatts.

BARCELONA--Intel announced here Monday at the GSMA Mobile World Congress that LG Electronics will use its latest generation technology to build a new class of device called mobile Internet devices, or MIDs.

Specifically, Intel and LG will work together to build these new devices using a processor that Intel has code-named Moorestown. The devices will also use a version of the Linux open-source operating system called Moblin. The LG device is expected to be one of the first Moorestown designs to market. And Intel has said that devices using the new Moorestown chips will hit the market by 2010.

Intel and LG have already been working closely together on other products. In the fourth quarter last year, LG launched a Netbook using Intel's Atom processor. And LG also ships full-fledged notebooks using Intel's Core processor.

Now, the companies are working on a new class of product that are mini-computers that can also be used to make phone calls using a wireless Internet connection. Intel sees the category of product as something that is somewhere between a smartphone, like the Apple iPhone, and a Netbook, a scaled-down version of a notebook computer.

As the global economy continues to deteriorate, Intel, like many other large companies, is looking for growth markets. The company's bread-and-butter PC processor business is suffering as people stop buying desktop computers.

Intel sees mobile devices, and specifically the MID market, as an important area for growth. While the overall cell phone market was down about 12.6 percent worldwide in the fourth quarter, according to IDC, smartphones were actually up about 22.5 percent.

To date, Intel hasn't really played in this growing market. Instead, other players, such as ARM, Qualcomm, and Texas Instruments, have divvied up considerable market share in the cell phone market.

But Intel wants a piece of the pie. So the company has been pushing this new category of device. Intel argues that consumers need a device that's more powerful than a smartphone but not as bulky as a Netbook or laptop. The idea is that consumers who buy a MID could use it to watch high-definition video, make phone calls using the Internet, or download information from the Web while on the go.

Not surprisingly, Intel's vision of a MID is exactly why many people want to buy a smartphone like the iPhone. And this is essentially the conundrum that Intel faces. It has to convince consumers that they need to spend a few hundred dollars or more on an additional device.

But since this mobile device will also require wireless Internet access, Intel is also tacitly asking consumers to sign up for yet another wireless service plan. Of course, these devices will likely have Wi-Fi, but Wi-Fi isn't everywhere. And if someone wants a device with ubiquitous coverage, he'll have to pony-up an extra fee for a service plan.

So far, wireless operators have done a poor job of providing people with a single subscription for multiple devices. Some carriers allow certain smartphone devices to be used as modems for laptops that essentially share the same data service. But some devices, like the Apple iPhone, can't be used in this way, which means that consumers who want wireless 3G Internet access on their laptop and on their phone have to subscribe to separate services.

Data service for laptops and Netbooks service generally costs about $60 a month. Meanwhile, carriers are also charging smartphone users an additional $30 a month on their bill for unlimited Internet access. All told, a single consumer could have to come up with about $90 a month just for mobile Internet access on two devices. Compare this with the $30 a month that DSL broadband subscribers pay, which allows them to connect multiple devices at much higher speeds to the Internet.

Most likely when these MIDs rollout, mobile operators will have a more affordable plan in place. Operators, such as AT&T and Sprint Nextel have already expressed interest in rethinking data plans to accommodate more devices that will access the Internet wirelessly. But one thing is certain. An expensive data plan could hurt MIDs before they even get out of the gate.

AT&T is looking to put a kibosh on the proposed merger of Sprint Nextel's nationwide WiMax assets with those of Clearwire.

On Thursday, the nation's largest phone company filed a petition with the Federal Communications Commission, asking it to deny approval of the merger.

Sprint Nextel announced in May that it was teaming up with Clearwire to form a new joint venture that would combine both companies' WiMax assets to create a nationwide broadband wireless network. The deal, which has been valued at about $14.5 billion, is being backed by cable operators Comcast and Time Warner, as well as Intel and Google.

The FCC, which is currently reviewing the merger, must give its blessing for the deal to be completed.

In its filing, AT&T argues that the proposed merger, "openly state[s] that they (Sprint Nextel and Clearwire) intend to compete with other national wireless providers--including AT&T--yet they fail to make the required showings necessary for the commission's review."

It's funny that AT&T is putting up any kind of stink to the merger, considering that the company exists in its current state only because of several massive mergers in the past few years, including the multibillion dollar merger between AT&T and BellSouth, which put full ownership of the wireless operator under one owner, and the purchase of wireless assets from rural operator Dobson Communications last year.

But it's clear that AT&T is nervous about the new Clearwire's plans. AT&T is currently still deploying 3G technology throughout its territory and is busy upgrading its existing network. But it is years away from taking the next big leap toward building a 4G network, which will use a competing technology known as Long Term Evolution, or LTE. By contrast, WiMax technology is available and working today. And regardless of the outcome of the merger, Sprint expects to launch its first WiMax deployments in September. What's more, devices supporting WiMax have already been developed and will hit the market by year's end.

While analysts still aren't sure whether WiMax will survive in the long run as a mobile technology here in the U.S., it appears from AT&T's latest moves that it's at least a little bit scared that the new Clearwire network, with backing from heavyweights like Intel and Google, could get enough traction to threaten its current and future wireless business.