Wireless

Twenty-six operators are committed to the long-term evolution 4G standard, according to research released this week by the Global Mobile Suppliers Association. While the forum for GSM and 3G suppliers worldwide decidedly has a stake in promoting LTE, the number indicates growing momentum for the standard, which promises download data rates of at least 100Mbps.

Fierce competition has arisen to become the world's first LTE operator in an arena regarded as the next generation of mobile phone service and a huge draw for customers.

Ten network operators are ready to launch their networks by 2010, according to the report. In the U.S., these include Verizon, which committed to 4G at the 2009 GSMA Mobile World Congress in Barcelona in February; MetroPCS; and CenturyTel.

TeliaSonera in Sweden and Norway has signed on. In Japan, NTT DoCoMo and KDDI are onboard, and in Canada, it's Rogers Wireless, Telus, and Bell Canada. Sixteen more telecommunications companies will launch their LTE 4G services after 2010.

With earlier launches of new mobile-network standards, handset availability has been a limiting factor for the commercial launch of the service. In the GSA report, two mobile players have already predicted release dates of their LTE phones. Sweden's Ericsson says it will have an LTE-capable platform for commercial release in 2009 and will deliver mobile products based on the platform in 2010. South Korea's LG has announced that its first LTE mobile phones will likely reach the market in 2010.

For users, 4G wireless technology is primarily about higher data rates to match the increasing capabilities being offered by phones. But consumers probably won't experience the full impact of 4G until 2012 or 2013, when Strategy Analytics forecasts that the global LTE handset market will increase from 70 million sales units to 150 million.

WiMax won't likely win the battle as the 4G mobile technology of choice, but its head start in the market and its use as a wired broadband substitute will breed some early success, a recent study by market research firm In-Stat said.

On Wednesday, In-Stat published a report that indicates WiMax will outpace the competing 4G technology called Long Term Evolution, or LTE. But after LTE equipment becomes available later this year, that could change. And WiMax vendors may find a stronger market for building fixed wireless broadband networks in places where wired broadband is impossible or too expensive.

Wireless operators around the world are starting the process of upgrading their cellular networks from 3G networks to the next generation of wireless 4G. WiMax and LTE, which are both based on a modulation technique called Orthogonal Frequency Division Multiplexing, or OFDM, are the two leading technologies that will likely form the basis of these new networks.

The race appears to be on between these two technologies for equipment makers and mobile operators who are making bets today.

WiMax is further along in terms of deployments with several operators throughout the world using it to provide fixed wireless broadband services. But so far, the technology has had a slow start as a mobile technology. Clearwire is the only major player in the U.S. using the technology to build a nationwide WiMax network. It teamed up with Sprint Nextel last year and got funding from Google, Intel, Time Warner Cable, and Comcast to help build the network.

Meanwhile, the LTE technology is much further behind in terms of development. Network equipment vendors and chip suppliers say commercial products won't be available until at least the end of 2009. So it seems like WiMax could have a big head start.

And in some cases it will. In-Stat says the market for WiMax will initially grow much quicker than LTE. But operators will most likely be using it to deploy fixed wireless broadband services in places where they can't offer fixed broadband like DSL.

LTE has already gotten the backing of some of the largest phone companies in the world. Vodafone, the world's largest mobile operator, and Verizon Wireless, the largest cell phone operator in the U.S., are planning to use LTE to build their next-generation networks. Verizon Wireless said last week at the GSMA Mobile World Congress in Barcelona that it will start deploying its LTE this year and expects to aggressively roll out the service in 2010.

In-Stat said it expects LTE deployments to ramp up quickly. And by 2013 it predicts there will be 23.1 million LTE subscribers, up from about 176,000 expected in 2010.

"Most of the operators looking to deploy WiMax come to it from the fixed network space," Daryl Schoolar, an In-Stat analyst, said in a statement. "These operators are looking to use WiMax as an enhanced DSL service. Most of the early operators supporting LTE come from the mobile space. These operators want to use LTE to increase capacity and peak rates on their existing mobile networks."

Carriers, such as AT&T and Telstra in Australia, are upgrading their existing 3G wireless networks with faster versions of HSPA to give them additional speed until they can upgrade to LTE.

BARCELONA--So what's a big CDMA operator like Verizon Wireless doing at a conference hosted by the GSM Association?

Well, it looks like the old technology wars that divided the wireless industry are being laid to rest as operators begin marching toward building the next-generation 4G networks. While there are still technology debates, most of the world's mobile operators, including nearly every GSM provider, are planning to use the same technology to build their 4G networks.

Dick Lynch,
Verizon CTO

(Credit: Verizon)

This is a very big deal for the wireless industry, which has suffered from infighting and technology incompatibilities over the years.

As one of the biggest CDMA operators now embraces the same technology path as the GSM community, there is finally hope for peace and seamless worldwide roaming.

As a result, Verizon Wireless, the largest carrier in the U.S. and one of the largest CDMA operators in the world, made its first official appearance at the 2009 GSMA Mobile World Congress here this week. Dick Lynch, chief technology officer at parent company Verizon Communications, gave a keynote speech and dished out the details on the company's soon-to-be-built 4G wireless network that uses a technology called Long Term Evolution, or LTE.

CNET News sat down with Lynch after his speech to get more details on the network's launch and to find out what's happening with Verizon's Open Development Initiative. Below is an edited version of the conversation.

Q: This is your first time at Mobile World Congress, right? Why hasn't Verizon been here before? It is the largest wireless show in the world, after all.
Lynch: For one, we were invited this time.

Really, that's why you hadn't come before? You weren't invited?
Lynch: Not really. I'm joking. But seriously the more important question is what do we see in Mobile World Congress now? And the answer is, if you go back some years, we went down a certain technology path, and it wasn't well represented here. But now we've reached a point--and other carriers around the world--are reaching a point where we have to make a decision about 4G. And we made the choice of LTE. It also happens to be the path for GSM carriers, so it's a logical time for us to come together.

Vittorio Colao, CEO of Vodafone, said during his keynote speech this week that growth in mobile data will soon put a significant strain on current 3G networks. How much headroom does Verizon Wireless have left in its 3G network?
Lynch: In terms of adding more capacity, there's still a lot we can do. There's cell splitting, for example. But we're in a better position than Vittorio is. He has different amounts of spectrum in different countries, and so he has different technologies allocated for different spectrum bands. He is more limited too because of regulatory issues--whereas we have a lot more options and are able to grow.

But Verizon is working on its 4G network. This might suggest that Verizon is running out of 3G capacity. How long before Verizon's 3G network is tapped out?
Lynch: We could go for years on our 3G architecture by adding capacity. And there are a lot of things you can do to add capacity. But they're all more costly than moving to 4G, and they offer the same performance people experience today. And eventually, we think customers will find that insufficient for what they want to do in the future.

We can continue to add capacity, but we think in the next two to three to four years that consumer expectations will outclass the 3G network. That's why we are moving so quickly. We want to be there when the first wave of customers feels like 3G is not really fast enough.

How are you planning to roll out the new networks? Will there be devices that handle both 3G and 4G?
Lynch: Yes, there will devices that do both. What is important to our customers is ubiquity even from year one. So where LTE is available initially in our top markets, people will use that. And where it's not yet available, they'll fall back to EV-DO.

There will likely be more 3G coverage in year one than by year five. We will follow a similar plan to how we rolled out our 3G network. So initially there will be some subset of the entire country with 4G coverage, and we will expand that coverage every year.

How quickly will you be able to get LTE rolled out?
Lynch: We're going to follow the model we used in rolling out EV-DO. And we'll be aggressive about the roll-out in 2010. So if you look at the rate we did with EV-DO, I'd say for year one, we could do 25 to 30 major markets. That is probably reasonable. Just like we did with EV-DO, we will initially offer the service for PC cards and dongle devices. That's the easiest form factor, and it's the customer subset that can most benefit from the much faster speeds right way. After that we will follow with handsets.

During your keynote at Mobile World Congress, you outlined a road map for deploying LTE. Will the current economic environment affect those plans?
Lynch: If by the current economic environment, you mean Verizon's current position relative to the rest of the world, then what we have announced (Wednesday) is consistent with what we hope we can do in 2010. But I reserve the right to adjust that if things for Verizon get worse. If that were to happen, we may choose to adjust. But we are fairly bullish on our ability to do this.

Verizon announced the Open Device Initiative in late 2007, and you said during your keynote here that you think it's been a success. But I haven't seen any handsets announced, nor have I heard of any pricing plan for the service. So what's going on?
Lynch: Most of the early devices on ODI have been unique devices that are focused on specific applications. There are a couple that are using the network for telemetry in unusual places, and some other specific devices such as specialized laptops.

What about the handsets? I think that when this initiative was announced most people thought that Verizon was creating an environment where users could bring any handset to the Verizon network.
Lynch: Well, it typically takes about 18 to 24 months to develop and take to market a new handset. So if you're looking for phones, it's too soon. The fact that there aren't many handset manufacturers that have gone through the ODI certification process is more a result of how much time it takes to deliver that product than it has to do with us.

Also, we really look at ODI as a nontraditional catalyst for developing new products and applications (rather) than another way of offering phone service. That will be part of it, but there will also be devices like blood-pressure monitors that use the network.

I think you're starting from the premise that ODI is all about the consumer handset market, and I'm starting at the point of looking at it as the future vision of wireless connectivity. Consumers might not yet be aware of devices that could connect to this network.

You have explained that both on the Open Development network as well as on the new 4G LTE network you envision all kinds of devices being used instead of just handsets. How is that going to change your business model? You'll have to change or adapt the service plans, won't you?
Lynch: I think in the future we will see data pricing based on usage. We don't expect customers who have a device that works once a week and pushes 50 bytes across the network to pay the same as a customer using 50MB a day. So the rate will be variable based upon usage. There will be a variety of pricing arrangements to allow for aggregation.

So you don't see wireless broadband services being offered like traditional broadband? For example, at home I pay for a single broadband connection and I can attach any device to it. And I can use as many devices as I want on my network.
Lynch: No, I don't. The wireless network unlike our fiber network, Fios, has a capacity issue. On fiber, the bandwidth is yours and you pay for it. But in wireless you have resource scarcity. So someone using 50 times more bandwidth than everyone is using should be expected to pay more. That's why I think there will be usage-based plans. But that doesn't mean we can't package services to get a single price for different devices. We're still working on the pricing.

Sprint Nextel has made headlines all week as it's started lighting up its first 4G wireless network using a technology called WiMax. But what exactly is WiMax? And how does it fit into the future of wireless? Here's a primer to help you sort it out.

Sprint was the first major carrier in the world to announce massive deployment of mobile WiMax in 2006. The company said it would use the technology to build a fourth-generation, or 4G, wireless network that would provide true wireless broadband.

But the hyped technology hasn't been without controversy. Fast forward to the present, and Sprint's former CEO Gary Forsee, who staked his reputation and ultimately his job on WiMax's success, was forced to resign after investors protested that the company needed to focus more on keeping current 3G customers instead of building a new 4G network.

Now, Sprint is waiting to spin off its WiMax assets into a joint venture with Clearwire to help ensure that its dream of a nationwide WiMax network is realized. In the meantime, it's moving forward with initial network deployments. And this week, it launched the first mobile WiMax network called Xohm in Baltimore. More cities will follow over the coming weeks and months.

Next week, Sprint and its ecosystem of WiMax suppliers is planning a major coming out party for Xohm. With all the buzz swirling around WiMax, I thought it would be a good time for a little refresher on what the technology is and how it compares to existing technologies as well as other 4G technologies on the horizon.

What is WiMax?
The acronym WiMax stands for Worldwide Interoperability for Microwave Access. It's an IP-based wireless technology that can accommodate fixed, portable, and mobile usage models, according to the WiMax Forum. It's considered a promising next-generation wireless technology, because it supports high data rates and has a long transmission reach. Before it was standardized in 2004, there were many non-standard versions of the technology being developed throughout the world, including Korea's WiBro technology.

What can WiMax be used for?
The primary purpose of WiMax is to offer wireless broadband. Originally, it was used to provide broadband to places where there was no wired infrastructure. This is how most of the 350 deployments throughout the world use the technology today.

A mobile version of the technology was approved in 2005 by the IEEE standards body. This version, known as 802.16e, allows the technology to be embedded into laptops, tablet PCs, smartphones, and consumer electronic devices like digital cameras so they can connect to the Internet via WiMax while in motion. So for example, if you're walking down the street, riding on a train or traveling in a car, the 802.16e version of the technology will allow you to still access the Net.

The WiMax Forum claims the technology can deliver 40 Mbps of capacity per channel, which can then be split "among hundreds of businesses, thousands of residences, and thousands of mobile Internet users." Specifically, the group believes the technology can offer 30 Mbps of capacity within a typical cell radius of up to 3 kilometers.

People have called WiMax Wi-Fi on steroids. How does WiMax differ from Wi-Fi?
WiMax and Wi-Fi are both Internet protocol-based wireless technologies. And they both provide high-speed wireless access to the Internet. But that is pretty much where the similarities end.

Wi-Fi was designed to provide indoor wireless connectivity over relatively short distances. The technology is mostly used for home networks or to provide Internet connectivity in small public places like a coffee shop or library. Although there have been some attempts to "mesh" the technology and use it outside for citywide deployments. But because of its short range, these deployments require a lot of radios.

Another major differentiator between WiMax and Wi-Fi is that Wi-Fi uses unlicensed spectrum. WiMax uses licensed spectrum, typically in the 2.5MHz range. WiMax is also designed to be a carrier grade technology so there is more reliability and quality of service built into the technology than is typically available with Wi-Fi.

How does WiMax compare to 3G cellular phone services?
Like WiMax, 3G services transmit over long distances. And these services also require spectrum licenses. But in general, 3G cellular networks are slower than WiMax. What's more, these networks were fundamentally built for voice traffic. WiMax has been developed for data.

How do the speeds of 3G services compare with WiMax?
Verizon Wireless and Sprint Nextel have built their networks using a technology called EV-DO. Today's networks, which use a version of the technology called Revision A, offer theoretical download speeds of about 3.1 Mbps. But actual downloads are between about 400 Kbps and 800 Kbps.

AT&T uses a different technology, based on UMTS and called HSPDA or High Speed Data Packet Access. It can theoretically deliver download speeds of about 3.6 Mbps. But in the real world, speeds are closer to 400 Kbps to 700Kbps.

That said, the next generation of 3G for both technologies is on its way. And it offers faster speeds. Verizon and Sprint can upgrade to EV-DO Revision B, which offers a theoretical maximum download speed of more than 9 Mbps. Actual peak download speeds would likely fall around 4.0Mbps.

AT&T is currently upgrading its 3G UMTS network to HSUPA. And AT&T executives have said that as soon as next year its network could offer theoretical download speeds up to 20 Mbps. The actual speed is likely to be around 4 Mbps and 6.6 Mbps.

By comparison, WiMax can deliver theoretical download speeds to individual users around 10 Mbps to 20 Mbps. But most people using a mobile WiMax service will get between 2 Mbps and 4 Mbps of bandwidth.

Why do theoretical speeds differ from actual speeds?
There are several variables to consider when it comes to calculating performance of wireless networks. All wireless networks are a shared medium, meaning the more users on the network, the less total capacity is available for individual users. Also physics plays a role. And distance is always a factor when it comes to wireless technology. Typically, the further a wireless signal travels, the weaker it becomes, which translates into slower bandwidth speeds.

How does WiMax stack up against other 4G technologies, such as Long Term Evolution or LTE?
WiMax and LTE are the leading technology candidates for 4G networks of the future. And they actually have more similarities than differences. Both technologies are IP-based and as a result are designed for data rather than voice. And because they are IP-based they will both be able to offer consumers a true mobile broadband experience on portable devices like smartphones and consumer electronics.

Both technologies use the same fundamental technology, OFDM or orthogonal frequency-division multiplexing. So while GSM and CDMA were bitter rivals in the 2G and 3G cellular wars, WiMax and LTE are more like siblings, sharing a common parent. This means that companies, such as Motorola and Nokia, will have an easier time developing products and equipment for either network because they can re-use some technology built for one technology.

Who is deploying mobile WiMax in the U.S.?
The WiMax Forum lists more than 350 WiMax deployments throughout the world already. But most of these are fixed deployments in developing markets where WiMax is used to provide broadband to areas without fixed line infrastructure.

In the U.S. Clearwire and Sprint Nextel are building WiMax networks that will serve both mobile customers as well as fixed customers. Earlier this year, the two companies agreed to join forces to deploy a nationwide WiMax network. The companies have raised $3.2 billion in investment from several companies including, Intel and Google as well as cable providers Comcast and Time Warner Cable.

Sprint just launched the Xohm network in Baltimore this week. It will be lighting up other WiMax cities such as Washington, DC, Chicago, Philadelphia and Dallas, in the coming months.

Who is deploying LTE?
The world's largest wireless operators have committed to LTE. AT&T and Verizon Wireless in the U.S. and Vodafone, which is the largest operator in the world, said they'll use LTE. Verizon Wireless has already said it will use its newly acquired 700 Mhz spectrum to build the network.

LTE is still in its early days of development, which means it won't likely be deployed en mass until 2011 or 2012.

As for speeds, LTE is expected to be faster than the current generation of WiMax. But the IEEE is working on a new version of WiMAx called 802.16m, which should be ratified in 2009, that will provide faster speeds.

Are there any WiMax devices available today?
There are some, but not many. That said, several large companies such as Intel, Nokia, and Motorola have thrown their weight behind WiMax. And they promise to launch new components and devices to support the technology. But so far, devices with WiMax have been few and far between. Nokia has announced the N810 "Portable Internet Tablet." Samsung has announced a WiMax-capable Q1 Ultra Premium Mobile PC. And Intel will soon be including WiMax in its laptop chipsets, which should help seed the market.