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Some are saying that the FCC’s decision to stop requiring DSL operators to open their networks to ISPs may be good news for wireless broadband: This is the end of the road for most ISPs. However, it’s also a big opportunity for broadband wireless equipment vendors. Essentially the only way to be an ISP in the future will be to have your own facilities and wireless is the most cost effective way to do that. Dana Blankenhorn suggests wireless ISPs tout the fact that they’re able to totally bypass the telcos as a way to win customers eager to take their business away from the incumbents.
This is a bit of a side note but also relevant. Wireless networks need backhaul. Wireless operators can lease lines from telcos, lay their own fiber or use point to point wireless links. They can even use LMDS spectrum. That’s right, you read correctly, the long forgotten LMDS spectrum. First Avenue Networks has consolidated a bunch of the LMDS spectrum and is currently doing a lot of backhaul for cellular companies. Wireless ISPs could also lease bandwidth from an operator like First Avenue for backhaul and an executive at the company says it is looking at the WiMax opportunity.
Posted by nancyg at August 8, 2005 3:25 PM
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