Mass Adoption of WiMAX Is Possible in Developing Countries With Minimal Infrastructure

Worldwide interoperability for WiMAX is likely to become popular in geographical pockets as it offers significant benefits to the developing countries with poor existing infrastructure, according to a new study, WiMAX - A Strategic Look at Currently Approved and Expected Developments, from Frost & Sullivan. However, success of this technology in the developed world depends on a number of factors. From the invention of the radio, the future of technology has been wireless. The benefit of eliminating wires has led the development of radio, satellite communication, cell phones, and eventually wireless fidelity (Wi-Fi). This commoditization was responsible for the wide adoption of the technology, leading to cheaper products and a rise in the usage.

"By eliminating the copper connection to the home, customers could walk away from their current service providers and simply switch to Internet access through a WiMAX tower in their town," says Frost & Sullivan Research Analyst Sivam Sabesan. "Although Wi-Fi is considered a competitor for WiMAX, it is generally limited to a range measured in feet, whereas WiMAX can operate in a radius defined in miles."

WiMAX received a boost when Intel began marketing it in full-swing in early 2004. Looking to cover entire cities with Wi-Fi, Intel decided to install a large number of access points, but the general consensus was that management of these access points would be a difficult task. Internet access had to evolve as a carrier technology and the company started working on unlicensed spectrums. By mid 2006, Intel was widely promoting the WiMAX forum and was making strategic investments in companies that had the potential to become market leaders in this segment through its venture capital division.

Despite the hype, WiMAX products are only entering the market now, though only trials are up and running. The mobile version will not be in the market until 2007, when the first products get certified. The deployment of equipment must be initiated for WiMAX to get the momentum. This is important to bring the cost point lower and help it compete with other technologies. Companies have invested heavily in competing technologies, as they have an interest in seeing these technologies succeed. Competition with other technologies is a restraint. WiMAX at the moment has some advantages over these technologies, but not in all areas.

"People are discussing the WiMAX changing paradigms before the commencement of widespread adoption and as with any new technology there are always concerns regarding the generation of excessive hype about the capabilities of the technology, the time frames in which it will be available, and the unit costs," notes Sabesan. "WiMAX also has to overcome issues such as interference within the same frequency which could lead to a decline in the QoS, which in turn would lead to regulations that directly affect the popularity of the scheme."

The mass media often refers to WiMAX as the next generation of Wi-Fi, but the real question is whether WiMAX will replace Wi-Fi as a preferred access medium. The short answer is no. The two technologies will coexist. WiMAX is likely to succeed as a technology because it has a standard, which means lower prices, more competition and the ability to take over the market. In addition, the developments in Asia Pacific in terms of the economy and booming industries are likely to increase demand for this technology.