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Ofcom auction means more room for WiMAX

Ofcom auction means more room for WiMAX

The UK’s next big radio spectrum sale takes place this autumn. Will the bidders be taking this opportunity to develop WiMAX services?

  • Plans by Ofcom to auction off 215MHz of radio spectrum later this year opens the door for a fresh batch of players keen to develop and offer Worldwide Interoperability for Microwave Access (WiMAX) services in the UK.

    The spectrum’s potential

    The 215MHz within the 2.5GHz spectrum is suitable for services using the WiMAX long-distance wireless data standard.

    Ofcom has stated that the spectrum is being sold on a “technology and service neutral” basis.

    However, the spectrum once expected to be used for 3G expansion is now seen as a prime frequency range for WiMAX, with room for several different operators to offer services.

    Internet on the move

    Increasing demand for internet access on the move, as well as the development and uptake of Voice over Internet Protocol (VoIP), means that many companies have already invested in WiMAX.

    These include BT, Pipex, The Cloud, Vodafone and T-Mobile, though none has yet declared openly that it will bid for the spectrum.

    Network of the future

    WiMAX has the advantage over the similarly named (but quite different) technology WiFi (Wireless Fidelity), by offering a much greater range – potentially 2-3 kilometres from a base station, as opposed to WiFi’s 100 metres.

    '

    WiMAX is better suited to offering access outdoors.

    Graham Currier

    Business development director

    Pipex

    '

    Though the technology has yet to become established, significant investment from interested parties could lay the groundwork for a nationwide WiMAX network over the next few years.

    Intel has already invested heavily in the technology and has demonstrated WiMAX chips, which should start appearing in devices such as laptops soon.

    WiMAX complements WiFi

    Rather than offering yet another confusing platform choice for consumers, the most likely use for WiMAX is as a complementary technology to existing wireless broadband access routes, such as WiFi hotspots and Wireless Local Area Networks (WLANs), as well as 3G mobile phones.

    And like Global Systems for Mobile communications (GSM), WiMAX can operate in several different frequency bands, with suitably equipped devices switching automatically between them.

    Co-existing technologies

    Graham Currier, business development director of Pipex, which already has rights to a clutch of the 3.5GHz radio spectrum, also suitable for WiMAX, makes the point that the various technologies can co-exist.

    “WiFi was developed predominantly as an indoor technology, but WiMAX is better suited to offering access outdoors.

    “There are no technical reasons why they couldn’t complement each other,” he says.

    New market opportunities

    Co-founder and chief strategy officer Niall Murphy sees the auction as offering opportunities for new players to enter the market.

    “We’ll end up in a situation where it won’t just be mobile operators who can offer access to mobile services and that’s very attractive to media companies, ISPs and others.

    “The company that provides your broadband connection at home may want to sell you a VoIP mobile phone.”

    Ofcom has not yet set a definite date for the auction, but a spokesman commented that bids are expected to be requested in the autumn, with announcements on the winners by the end of 2007.