Print 17 comment(s) - last by Ringold.. on Jun 15 at 12:50 PM

Nortel says it wont support WiMAX and aligns with LTE

Clearwire held an investors conference yesterday where it claims that by the year 2017 it will have $17.5 billion in revenue. That is an audacious claim from a business that at this time only serves a limited number of markets.

The projected income Clearwire is touting will come from both voice and data services according to InformationWeek. Clearwire goes on to say in the conference that it expects to have 30.8 million subscribers and that as many as 220 million users will have access to its service within the next nine years. On a short term plan, Clearwire says that by 2009 it will offer WiMAX service to between 60 and 80 million people in America.

Clearwire’s outlook on the WiMAX situation over the coming years is rosy, but the level of success it predicts is far from guaranteed. In fact Sprint and Clearwire are the only mobile service providers in the U.S. banking on WiMAX technology. The other mobile service providers including AT&T and Verizon are banking on Long Term Evolution (LTE) for their next generation 4G networks. reports that Nortel -- a major telecommunications equipment maker -- has opted to not support WiMAX at all. Nortel will instead focus on the more popular 4G wireless technology, which it is betting will be more popular for customers and manufacturers.

Despite the long term outlook for LTE being superior, the most significant advantage of WiMAX is that it is here and will be ready in only a few years. Clearwire’s hope is that it can sign up enough customers in the short term to negate the popularity of LTE among hardware makers and other mobile service providers.

Sprint and Clearwire announced they would combine forces to tackle WiMAX in May 2008.

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RE: Monopoly
By sxr7171 on 6/14/2008 10:03:53 AM , Rating: 2
I meant "no US company" one could argue that Qualcomm is doing something, but they have fallen so far behind. The only impact of the Verizon choosing GSM (LTE) is that it screwed over Qualcomm. It wouldn't surprise me if Sprint announces a move to LTE also.

RE: Monopoly
By krwhite on 6/15/2008 7:57:48 AM , Rating: 2
I fail to see how a large cellphone company picking a standard means 'nothing'.. Ok, they're doing what others are doing. That's a standard being standardized, is it not?

RE: Monopoly
By krwhite on 6/15/2008 8:00:04 AM , Rating: 2
I'm definitely on WiMAX's side. I would rather use that standard myself. I don't ignore Verizon's power though. Do not underestimate the powers of the emperor.

RE: Monopoly
By sxr7171 on 6/15/2008 11:57:24 AM , Rating: 2
Whatever, there's more to the world than just the US. LTE will do fine with or without Verizon. LTE is the progression technology for every GSM carrier in the world already serving hundreds of millions of customers. Verizon is getting on board because they have to keep up with what everyone else in the world is doing. It's more of question of how Verizon will do without LTE. They'd have to implement whatever Qualcomm has for CDMA networks. It's nice to see the US market getting on board with what everyone else in the world is doing though. As for WiMax it was originally meant for laptops and now other devices will have it. It was never really intended to be a cellular telephony technology. It's more like your cable modem only wireless.

RE: Monopoly
By Ringold on 6/15/2008 12:50:11 PM , Rating: 2
Whatever, there's more to the world than just the US.

China Mobile has more users than America has people, and they're not China's only mobile carrier either. Just providing a supporting point.

"Spreading the rumors, it's very easy because the people who write about Apple want that story, and you can claim its credible because you spoke to someone at Apple." -- Investment guru Jim Cramer
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