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Article

Title: Just Ahead: A Wider Wireless World

Author: Wildstrom, Stephen H Article Type: Product Analysis
Source: Business Week, n4065 p103(1) Publication Date: Dec 31, 2007
  ISSN: 0007-7135
  Illustrations: Charts
URL of Publication: http://www.businessweek.com

Sometime in 2008, a long-awaited revolution in wireless communication will initially cause chaos for service providers and handset makers but will eventually be beneficial for customers. Rapid, wireless data will become more widely available, the choice of mobile handsets and data devices will increase, and services just might get less expensive. The most significant driver of change is the shutdown of analog television broadcasting, which is scheduled for February 2009. The conversion to digital TV will free up space currently occupied by UHF channels 52 to 69, a chunk is being given to police and fire departments, and the remainder will be auctioned off. This spectrum will alter the wireless landscape for three reasons: first, it expands the total bandwidth available for wireless networks; second, the comparatively low frequency of approximately 700 MHz penetrates buildings well, so it will work as an alternative to cable or DSL Internet service to homes in addition to mobile phones; and third, the Federal Communications Commission will require the purchasers of a large piece of the spectrum to provide consumers much more freedom in their selection of devices than carriers have historically allowed. The auction appears to be a battle between entrenched carriers Verizon Wireless and AT&T, and a group of up-and-coming participants, the most well known of which is Google. With the noteworthy exception of Microsoft, Apple, and AT&T, many of the industrys leading players have joined Googles Open Handset Alliance. In addition, Verizon plans trials of a superfast service called LTE, and Sprint Nextel intends to kickoff a fast wireless broadband technology called WiMAX. This could signal the end of the requirement that customers select from the limited array of handsets typically offered by carriers. Increased competition should put downward pressure on prices, especially for data services, to the satisfaction of users.

Special Features: Charts

Companies:
Apple Inc AT&T Inc
Google Inc Microsoft Corp
Open Handset Alliance Sprint Nextel Corp
TecTerms Verizon Wireless Inc

Products:
Spectrum Licensing Wireless Spectrum

TecTerms:


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