Half-Step Forward to Wireless Broadband
The
switch from the circuit-switched networks to packet-switched networks
provoked the carriers to heavily invest in another new generation
technology: 2.5G. Based on the digital transmission protocols, the 2.5G
is not a single wireless standard, but a collection of several. Bolting
on to existing 2G infrastructure built on the operational GSM, CDMA,
TDMA, and PHS standards among others, 2.5G CPRS and CDMA2000 standards
are expected to provide faster data speeds up to 171 kbps. However, among the
most-important attributes that 2.5G wireless Internet technologies can
offer is wide area coverage. GSM/GPRS is already available in most of
the United States and is widely available throughout Asia and Europe.
AT&T expected the national rollout of GSM/GPRS to be completed by
the end of 2002. If all goes as planned, in the near future mobile
phone users will be able to dial from their phones anywhere they travel
without worrying about coverage areas. Wireless carriers are putting
major roaming agreements in place that will break down the regional use
barriers. GSM and GPRS are fairly easy and affordable for the wireless
carriers to deploy, and almost become necessary for their survival.
After all, maximum throughput will not matter if users cannot access
the network. Carriers are expected to spend some $2 billion over the
next several years, with about 95 percent of this spending earmarked
for GPRS.
Although GPRS and CDMA2000 definitely offer higher
speeds, they still do not provide the true broadband that mobile end
users and mobile content providers expect. While specifications suggest
data rates of 144 kbps for CDMA2000 and 171 kbps for GPRS, these speeds
are theoretical maximums. The important thing to keep in mind is that
the maximum 171 kbps throughput is for an entire channel, and each
channel has to support multiple callers, and within each channel there
are multiple frames, and within each frame there are eight time slots.
So, in reality users usually hit the maximum throughput of 33 kbps.
Yet, 2.5G has already created success stories in the mobile Internet
services area. In August 2002, Audiovox launched Thera in concert with
Verizon Wireless — the first American Pocket PC with a built-in phone.
Thera was the first PDA with the built-in connectivity to one of the
fastest next-generation wireless networks in the United States, offered
by Verizon Wireless. The Verizon Wireless Express Network, using the
first phase of the CDMA2000 technology was designed to provide
effective data rates of 40 to 60 kbps. With Thera, users can make phone
calls, access e-mail and the Internet or network data, as well as use
mobile services applications on demand.
For the most part, at the time of this writing,
the 2.5G standards are looked upon as an intermediary step on the way
to the true fast-speed wireless Internet access promised by 3G
technologies. Yet, there are many positives that carriers and wireless
Internet service providers can capitalize on. Some believe that in its
glory, 2.5G may prove to be enough for the consumer, given that the
right application will be offered. For consumers, technological
advancement is not the main driver for adoption. Instead, viable
applications and ease-of-use are two main prerequisites for mass-market
acceptance. 2.5G does offer many features to the end user that make it
more usable. With Instant IP access or "always-on" service offered by
GPRS, users no longer need to dial up every time they connect to the
wireless data network. They can be instantly notified of new messages
or information according to their own preset preferences. In addition,
the "always-on" feature can be used to add location/proximity and
personalization services to customers. Moreover, based on the
packet-switched versus circuit-switched data technologies, with 2.5G
users will pay for data volume instead of air time, offering better
value. Finally, unlike other earlier technologies, Metricom's Ricochet
being a good example, 2.5G rollout is timed well with other supporting
technologies, such as location services through GPS and network-based
location; biometrics offering personalization; miniaturization allowing
integration of more memory,
energy, and processing power in portable devices; voice recognition
offering easy access and interface; Bluetooth; Wi-Fi; and others. Many
see 2.5G as a great market experiment powerful enough to open new
business models, new entrants, and a whole slew of new business and
consumer products and services.