Monday, October 22, 2007

WiMax gets ‘3G technology’ tag

New Delhi, Oct. 19 In yet another setback to existing GSM operators, the International Telecommunications Union Radiocommunication Assembly in Geneva has decided to include WiMax as a third generation (3G) wireless technology.

ITU is a global telecom standards body under the aegis of the United Nations. The ITU decision had the support of the Indian Government represented by senior officials from the Department of Telecom despite opposition from local GSM players.

International Telecommunication Union Approves WiMAX™ Technology as New IMT-2000 Standard

WiMAX Technology Inclusion to Expand Operators' Global Access to Spectrum Bands For Network Deployments

Portland - October 19, 2007 - The WiMAX Forum is pleased to recognize the decision of the Radiocommunication Sector of the International Telecommunication Union (ITU-R) to include WiMAX technology in the IMT-2000 set of standards. This decision is of global importance to operators who look to ITU to endorse technologies before they invest in new infrastructure. The decision to approve the WiMAX Forum's version of IEEE Standard 802.16 as an IMT-2000 technology significantly escalates opportunities for global deployment, especially within the 2.5-2.69 GHz band, to deliver Mobile Internet to satisfy both rural and urban market demand.

"This is a very special and unique milestone for WiMAX technology," said Ron Resnick, president of the WiMAX Forum. "This is the first time that a new air interface has been added to the IMT-2000 set of standards since the original technologies were selected nearly a decade ago. WiMAX technology currently has the potential to reach 2.7 billion people. And today's announcement expands the reach to a significantly larger global population."

From the initial application made at the ITU-R WP8F meeting in January of this year to this week's meeting of the Radiocommunications Assembly in Geneva, Administrations, industry and ITU have worked together to achieve this groundbreaking decision.

"It gives me great satisfaction to observe that the ITU Radiocommunication Sector continues to be responsive to the most pressing needs of the wireless industry," said Valery Timofeev, Director of the ITU Radiocommunication Bureau.

With WiMAX technology approved as a new IMT-2000 specification, the WIMAX ecosystem will benefit from greater economies of scale, thus reducing the already low cost to deliver broadband wireless services to include VOIP as well as the multiple services expected from wireless broadband Internet access.

Originally created to harmonize 3G mobile systems and to increase opportunities for worldwide interoperability, the IMT-2000 family of standards will now support four different access technologies, including OFDMA (includes WiMAX), FDMA, TDMA and CDMA.

"3G solutions based upon technologies such as W-CDMA, CDMA-2000, and TD-SCDMA technologies were already included in the IMT-2000 set of standards," said Resnick. "With WiMAX technology now included, it places us on equal footing with the legacy-based technologies ITU-R already endorses." The bottom line is that operators across the globe now have the freedom to select the right technology to best meet their business and regional needs."

About WiMAX Forum®

The WiMAX Forum® is an industry-led, not-for-profit organization formed to certify and promote the compatibility and interoperability of broadband wireless products based upon the harmonized IEEE 802.16/ETSI HiperMAN standard. A WiMAX Forum goal is to accelerate the introduction of these systems into the marketplace. WiMAX Forum Certified™ products are interoperable and support broadband fixed, nomadic, portable and mobile services. Along these lines, the WiMAX Forum works closely with service providers and regulators to ensure that WiMAX Forum Certified systems meet customer and government requirements. Through the WiMAX Forum Congress Events Series of global trade shows and events, the WiMAX Forum is committed to furthering education, training and collaboration to expand the reach of the WiMAX ecosystem. For more information, visit the trade show link at www.wimaxforum.org.

"WiMAX Forum" is a registered trademark of the WiMAX Forum. "WiMAX," the WiMAX Forum logo, "WiMAX Forum Certified," and the WiMAX Forum Certified logo are trademarks of the WiMAX Forum. All other trademarks are the properties of their respective owners

Friday, October 12, 2007

CISCO TO BUY WiMAX VENDOR?



Rumours that have been circulating in the past few weeks, concerning Cisco Systems Inc's plans to buy a major manufacturer/vendor of WiMAX base stations, are gathering pace as speculation mounts that a strategic acquisition could be announced later this month.

Cisco, a well-known serial-acquisitor of companies performing well in emerging technologies sectors, will have to buy one of the biggest WiMAX names if it wants to compete with the likes of Motorola Inc, Alcatel-Lucent, and Nokia Siemens Networks in the nascent wireless broadband market. Consequently, it's being rumoured that Cisco has narrowed down its shopping list to four potential targets. These are Alvarion Ltd, Aperto Networks, Navini Networks, and Redline Communications. Purchasing any one of these companies would instantly propel Cisco near to the top of the list of key WiMAX equipment suppliers worldwide.

Cisco has, so far, preferred not to get involved in the cut-throat public wireless infrastructure segment, but with rival Nortel Networks Corp having finally unveiled its WiMAX product range in recent weeks, Cisco may be fearful about getting left behind in a sector that promises high-revenuen growth over the coming decade. Until now, Cisco's position with regards to WiMAX had been that, although the technology will certainly be one of several high-speed wireless WAN technologies experiencing broad deployment in the short and medium terms, the company had no plans to manufacture WiMAX base stations or base stations using any other WAN radio access technology. According to the company's online position paper on WiMAX, Cisco will leave it to partner companies to provide radio components for next-generation base stations, but it will provide IP infrastructure to network such base stations.

So, buying a WiMAX equipment manufacturer would be a complete about-turn for Cisco and, given the solid performances of the leading independent vendors, such an acquisition would not come cheaply.

Top of the pile must surely be Israel-based Alvarion, which has recently ditched much of its legacy cellular equipment business in order to focus on fixed wireless broadband, and on WiMAX in particular. The company has been an aggressive player in obtaining supply contracts from incumbent operators as well as market-leading alternative network operators and service providers in emerging markets around the world, while its products have been and continue to be well-received by the industry at large. With a huge existing customer base and strategic partnerships poised to gain it access to the lucrative developed markets such as Japan and India, Alvarion seems to be the ideal acquisition target for Cisco. Some analysts are valuing Alvarion at between US$15 and US$17 per share, giving the company a top-range value of around US$1,050 million, which would be quite affordable for an industry giant like Cisco. There is also a degree of history between the two companies, as Cisco provides its IP access gateway solutions to Alvarion for use in fixed wireless access platforms.

Alvarion itself is likely to fight to stay independent, if it can. Becoming part of a larger US-based company could see it lose focus on its core emerging markets customer base, and integration with Cisco's own marketing and distribution systems could also be problematic.

Purchases of Aperto and Navini Networks also have much to commend themselves to Cisco, with the former being active in major markets such as Brazil and Turkey, and the latter already well-established in the US market as well as India. Canada-based Redline, meanwhile, has a cstomer base reaching into the Middle East and North Africa, Asia, and Latin America. However, none of these companies has the reach and brand visibility enjoyed by Alvarion, making the Israeli company most hotly tipped to be approached by Cisco with regards to a strategic partnership or outright acquisition.

ITI has published reports on several of the companies listed in this article, including Cisco Systems, Alvarion, Motorola, Alcatel-Lucent, Nokia Siemens Networks, and Nortel Networks