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Wireline delays boost wireless market

The arrival of wired broadband technologies to neighbourhoods world-wide has been delayed by "problematic rollouts", raising the value of the wireless broadband market, a report from Allied Business I...


March 1, 2000  


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The arrival of wired broadband technologies to neighbourhoods world-wide has been delayed by “problematic rollouts”, raising the value of the wireless broadband market, a report from Allied Business Intelligence, Inc. (ABI) of Oyster Bay, NY, has shown.

The report — LMDS, MMDS and ISM 2000: Global Markets and Trends for Fixed Wireless Broadband — found that line congestion and slow deployments of DSL and cable modems are constant hurdles faced by many service providers, consultants and their customers. As a result, service providers are turning to wireless technologies, including LMDS (local multipoint distribution system). MMDS, (multichannel multipoint distribution system) and PCS (personal communication system) solutions operating in the various ISM bands.

ABI says these technologies are expected to gain over nine million broadband subscribers by 2005. Andy Fuertes, Senior Analyst at ABI, says these wireless systems “will be used to provide fiber and high-speed copper equivalents to otherwise under-served customers.”

Findings have shown that MMDS, including the 3.4-3.7 GHz worldwide standard for fixed wireless access, is expected to lead the market with a 70 per cent share in 2005, mainly in the residential and SOHO segments. LMDS will continue to make inroads into the market, accounting for 60 per cent of subscriber revenues in 2005.

ABI also says that traditional wireline and wireless carriers will join small ISPs in using a collection of bands and technologies to address dark spots in their coverage areas. The company says the 5.8 GHz band is receiving the most attention as unlicensed broadband local loop. Systems operating in this band are expected to account for close to half a million subscribers in 2005.

Broadband Fixed Wireless Local Loop Technologies Subscribers, World Market, 2000-2005

Year Subscribers (Millions)
2000 0.2
2001 0.9
2002 2.0
2003 3.9
2004 6.2
2005 9.4

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