WiMAX to win over DSL users as substitute technology
07 May 2008
WiMAX to win over DSL users as substitute technology
Significant opportunities for WiMAX as a DSL substitute technology will see up to 12 per cent of the world's installed base of DSL users substituted with WiMAX by 2013.
Although industry analyst Juniper Research believes the technology can solve the last mile connectivity problem in developed as well as emerging markets, the company predicts that the Far East region will deliver over one fifth of the 47 million forecast WiMAX subscribers by 2013.
Juniper analyst Howard Wilcox said: "WiMAX will be an attractive offer in areas where there are no wired networks, and in areas where the existing DSL speed is suboptimal. WiMAX will solve the broadband access problem for users located at the fringes of DSL coverage.
"This is in fact the case in a number of developed nations such as UK, USA, Ireland and Scandinavia, and WiMAX network operators are deploying networks to address this market need. Additionally in developing countries - such as India - network operators are aiming to provide basic connectivity."
Wilcox expects that the vast majority of the WiMAX 802.16e trials and network contracts will begin by providing fixed broadband, with mobile usage to develop in line with initial demand.
However, the analyst cautioned that brand identification and service differentiation are the major marketing challenges facing new WiMAX operators, with many of the world's existing broadband providers enjoying household names and widespread market presence and recognition. "WiMAX operators will need to identify and promote their USPs, whilst avoiding entering the market on the basis of price," said Wilcox.
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