Broadband Strategies for the Fixed Market

SUMMARY

WiMAX and its precursors are being used for fixed Broadband Wireless networks today. The IEEE 802.16-2004 version of WiMAX is being adopted by carriers in developing countries as their primary means for providing broadband services, by competitive carriers globally to penetrate new markets, and by large incumbent carriers to extend their broadband networks into rural areas; This report identifies about 75 Broadband Wireless deployments globally including many in developing countries in Asia, Africa, and Latin America as well as competitive carriers and incumbent carriers in Europe and North America.

This report discusses the technical and regulatory factors that are leading to the deployment of WiMAX fixed services. It discusses the strategies of fourteen service providers offering Broadband Wireless data services and 17 systems and component companies that are addressing this market. This report discusses how these companies expect that WiMAX will be used to address the broadband data market.

This report presents the business case for WiMAX in Broadband Wireless networks. It compares the business case for WiMAX to DSL and shows how WiMAX will be competitive with fixed broadband technologies. Two business cases are shown. One is for the business applications that are being deployed today. The second is for the consumer applications that will be widely deployed as low cost mass market customer equipment becomes available.

The report also includes a set of market forecasts for the WiMAX Broadband Wireless market that give a global forecast along with forecasts for Europe, Asia, North America, and the Rest of the World. A forecast is included for mobile WiMAX and 3G subscribers, service revenue, device shipments and value, and Capex. A supplemental spreadsheet is included that includes the charts in the report along with further charts and tables for the main developed and developing countries that provide additional perspectives on the market.

Who Should Buy This Report?

• Wireline carriers
• Company executives
• Wireless carriers
• Marketing/product managers
• Wireless system manufacturers
• Network planners
• Wireless handset manufacturers
• Engineering managers
• Investors

TABLE OF CONTENTS

1. Executive Summary

• 1.1Introduction
• 1.2Global Regulation
• 1.3Broadband Wireless Technologies
• 1.4Market Strategies
• 1.5Business Case Scenarios
• 1.6Broadband Wireless Market Forecast
• 1.7Conclusions & Recommendations

2. Global Regulation

• 2.1EMEA
• 2.2NA
• 2.3APAC

3. Technology Strategies

• 3.1WiMAX Overview
• 3.2Alcatel
• 3.3Alvarion
• 3.4ArrayComm
• 3.5DragonWave
• 3.6Ericsson
• 3.7Intel
• 3.8IPWireless
• 3.9Lucent
• 3.10Motorola
• 3.11Navini Networks
• 3.12Nokia
• 3.13Nortel
• 3.14PicoChip
• 3.15Redline Communications
• 3.16Siemens
• 3.17SOMA Networks
• 3.18SR Telecom

4. Market Strategies

• 4.1EMEA-Altitude Telecom
• 4.2EMEA-BT
• 4.3EMEA-Orange
• 4.4EMEA-Vodafone
• 4.5EMEA-Wireless Broadband Systems
• 4.6NA-BellSouth
• 4.7NA-Clearwire
• 4.8NA-Sprint Nextel
• 4.9NA-TowerStream
• 4.10APAC-KDDI au
• 4.11APAC-NTT DoCoMo
• 4.12APAC-Korea Telecom
• 4.13APAC-Personal Broadband Australia
• 4.14APAC-SK Telecom

5. Business Case Scenarios

• 5.1Business Case for Business Broadband Wireless
• 5.2Business Case for Consumer Broadband Wireless
• 5.3Forecast Assumptions

6. WiMAX Fixed Market Forecast

• 6.1Market Environment
• 6.2Forecast Methodology
• 6.3Global Forecast
• 6.4Asia Pacific
• 6.5Western Europe
• 6.6North America
• 6.7Rest of World
• 6.8Global Fixed versus Mobile WiMAX
• 6.9Asia-Pacific Fixed versus Mobile WiMAX
• 6.10Western Europe Fixed versus Mobile WiMAX
• 6.11North America Fixed versus Mobile WiMAX
• 6.12RoW Fixed versus Mobile WiMAX

7. Conclusions & Recommendations

• 7.1Conclusions
• 7.2Recommendations

8. Glossary

Table of Figures

• Figure 1 1: WiMAX Certification Waves
• Figure 1 2: Breakeven Points for Broadband Wireless Business Services
• Figure 1 3: Breakeven Points for Consumer Broadband Wireless
• Figure 1 4: Broadband Fixed Subscribers
• Figure 1 5: Fixed WiMAX Subscribers by Region
• Figure 1 6: Broadband Fixed Subscribers versus Broadband Mobile WiMAX Subscribers
• Figure 3 1: WiMAX Certification
• Figure 3 2: WCDMA Roadmap
• Figure 3 3: Motorola MOTOwi4 Outdoor Base Site
• Figure 3 4: 4G Evolution
• Figure 3 5: Wireless Applications
• Figure 3 6: UMTS Evolution
• Figure 3 7: Complementary Wireless Technologies
• Figure 4 1: Vodafone Comparison 3G and WiMAX
• Figure 4 2: Wireless Broadband Systems Johannesburg iBurst Network
• Figure 4 3: Areas Served by BellSouth's Broadband Wireless Service
• Figure 4 4: BellSouth Broadband Wireless Coverage
• Figure 4 5: Personal Broadband Australia Coverage Map
• Figure 4 6: SK Telecom's Technology Evolution
• Figure 5 1: Breakeven Points for Broadband Wireless Business Services
• Figure 5 2: Breakeven Points for Consumer Broadband Wireless
• Figure 6 1: Global Broadband Wireline Subscribers, by Region
• Figure 6 2: Global Broadband Wireline Service Revenue, by Region
• Figure 6 3: Global Broadband Wireline Capex, by Region
• Figure 6 4: Global Broadband Wireline Device Shipments, by Region
• Figure 6 5: Global Broadband Wireline Device Shipments Value, by Region
• Figure 6 6: Global Broadband Wireless Subscribers, by Region
• Figure 6 7: Global Broadband Wireless Service Revenue, by Region
• Figure 6 8: Global Broadband Wireless Capex, by Region
• Figure 6 9: Global Broadband Device Shipments, by Region
• Figure 6 10: Global Broadband Device Shipments Value, by Region
• Figure 6 11: Global Broadband Subscribers, Developing versus Developed Countries
• Figure 6 12: Asia-Pacific Broadband Wireline Subscribers, by Country
• Figure 6 13: Asia-Pacific Broadband Wireless Subscribers, by Country
• Figure 6 14: Asia-Pacific Fixed Broadband Subscribers, Wireline versus Wireless
• Figure 6 15: Western Europe Broadband Wireline Subscribers, by Country
• Figure 6 16: Western Europe Broadband Wireless Subscribers, by Country
• Figure 6 17: Western Europe Fixed Broadband Subscribers, Wireline versus Wireless
• Figure 6 18: North America Broadband Wireline Subscribers, by Country
• Figure 6 19: North America Broadband Wireless Subscribers, by Country
• Figure 6 20: North America Fixed Broadband Subscribers, Wireline versus Wireless
• Figure 6 21: RoW Broadband Wireline Subscribers
• Figure 6 22: RoW Broadband Wireless Subscribers
• Figure 6 23: RoW Fixed Broadband Subscribers, Wireline versus Wireless
• Figure 6 24: Global Fixed versus Mobile WiMAX Subscribers
• Figure 6 25: Forecast Comparison
• Figure 6 26: Asia-Pacific Fixed versus Mobile WiMAX Subscribers
• Figure 6 27: Western Europe Fixed versus Mobile WiMAX Subscribers
• Figure 6 28: North America Fixed versus Mobile WiMAX Subscribers
• Figure 6 29: RoW Fixed versus Mobile WiMAX Subscribers

Table of Tables

• Table 1 1: Broadband Wireless System Strategies
• Table 1 2: Global Broadband Wireless Deployments
• Table 2 1: EU Spectrum for WiMAX
• Table 3 1: WiMAX Best Case Spectral Efficiency
• Table 3 2: WiMAX Worst Case Spectral Efficiency
• Table 3 3: WiMAX Spectrum Requirements
• Table 3 4: WiMAX Peak Data Rate
• Table 3 5: UMTS-TDD Evolution
• Table 3 6: Navini Broadband Wireless Deployments
• Table 3 7: PicoChip Fixed Scenario Evolution
• Table 3 8: PicoChip Mobile Scenario Evolution
• Table 3 9: Redline Broadband Wireless Deployments
• Table 4 1: Global Broadband Wireless Deployments
• Table 4 2: BellSouth 3G Broadband Wireless Services
• Table 4 3: Clearwire's Coverage and Subscribers
• Table 4 4: Clearwire's International Spectrum Holdings
• Table 4 5: Clearwire's U.S. Services
• Table 4 6: Clearwire's International Services
• Table 4 7: Veritel Retail iBurst Prices
• Table 5 1: Assumptions for DSL Business and Consumer Services
• Table 5 2: Assumptions for Broadband Wireless Business and Consumer Services
• Table 5 3: Further Assumptions for Business Services
• Table 5 4: Further Assumptions Consumer Services
• Table 6 1: Markets for Broadband Wireless Fixed Services
• Table 6 2: Penetration Assumptions, Broadband Wireline
• Table 6 3: Global Penetration Assumptions, Broadband Wireless
• Table 8 1: Glossary

Annex

All of the charts that are included in Section 5 and Section 6: WiMAX Fixed Market Forecast are also included in the spreadsheet Annex that accompanies this report. In addition there are a number of charts that are not included in the report but that may provide additional clarity to this market.

The Annex includes the following worksheets:

• Global Charts
• Global Tables
• Asia-Pacific Charts
• Asia-Pacific Tables
• Western-Europe Charts
• Western Europe Tables