Google Could be Instrumental in Getting Voice on WiMAX

Implications: 1.      Up until recently, WiMAX was supposedly going to be the future of wireless. 2.      However, at least for now, the stress seems to be on the data play at the “new Clearwire.” 3.      Google’s handset might be the answer for voice on WiMAX.

Analysis:  Previously, WiMAX had been kind of the everything-play.  Sprint was pushing old-fashioned voice over the technology.  However, there were a lot of challenges with doing it.  In fact, it is quite possible that Sprint has still not solved the issues with high-performance push-to-talk with WiMAX.  These matters include latencies, set-up times, etc.  

Interestingly, there may be the realization at present that data is where it fits best.  So, in effect, just as there is a WiFi chip now in a laptop, there will be a WiMAX one instead.  But there might not be a handset in the short term.  

Of course, the “new Clearwire” is not saying that it will never do voice and it is still mentioning the service for WiMAX.  Google’s “gphone” might run on the technology and perhaps be the future voice play.   

Google certainly does not have much to lose by being part of this new WiMAX alliance.  Given its market cap, its investment is a drop in the bucket.  In addition, Google avoids the operational annoyances of running a network.  Most importantly, it will get the Clearwire name out to people in a very big way.  Clearwire’s really high cost for acquisitions could go down substantially.