Summary
1. WiMAX is the way to step into the next generation and keep the cellular backhaul costs low. 2. Sprint’s WiMax vision is a dangerous diversion especially when they have problems with the Nextel Merger and their dreadful customer service. 3. Having said that, Sprint needs to make up its mind on how to proceed.
Analysis
In my view, WiMAX is the only wireless standard today that has the ability to deliver true broadband speeds. One might even say that WiMAX is a medium that would make the vision of pervasive connectivity a reality. It is based on the IEEE 802.16 standard, and is expected to enable true broadband speeds over wireless networks. WiMAX was expected to launch in a big way in many big cities in early 2007 and it is forecasted to be at a cost point that would enable mass market adoption. This however has not happened yet.
Both the fixed WiMAX (suitable for many homes and businesses) and mobile WiMAX are designed to provide high-speed wireless services at a low cost. WiMAX networks are designed for high-speed data and will spur innovation in new mobile devices and provide content to where it is requested in a cost efficient manner. Intel is poised to deliver the components for both the fixed and the mobile WiMAX that will lead to an adoption of personal broadband in a big way.
Saleh’s statement a few weeks ago was well thought about and well received. Daniel Hesse now needs to make up his mind, take this one step further and immediately stop any further plans on rolling out WiMax. I feel that they have other problems, one from when they merged with Nextel and the other being their dreadful customer service. The current plans are to do a soft launch in the near future in Washington, Baltimore and Chicago with the trail employee customer base is not really impressive.
Bottom line, Sprint needs something other than their current offering to become a formidable competitor to AT&T and Verizon. WiMax was going to be that offering but with so many other problems, this just does not seem the right time.
