Global WiMAX operators eye Brazilian market for broadband
São Paulo, 15 of October 2009 – The WiMAX Forum presented this week its contribution to the public consultation open by ANATEL, calling for neutral and flexible spectrum licensing. The industry organization reinforced that Brazil has multiple broadband needs, and as such has proposed a moderate modification to the consultation proposals which would allow for greater flexibility in the use of the spectrum. Additionally, WiMAX Forum called for a minimum of 60 MHZ of viable spectrum in the 2.5 GHz band in order to guarantee competition in the band between carriers and quality of services, taking into consideration that a robust WiMAX network in an urban area requires a minimum of 30MHz of contiguous, viable spectrum to be successful.
The WiMAX Forum notes that operators who have already deployed networks are finding the demand for broadband traffic and the continuous innovation of services means that at least, if not more than 30MHz will be required at an early stage. As such, the WiMAX Forum calls for regulators to factor this into their policy decisions, noting that the Internet is no longer just a service or application, but truly the means of providing all sorts of services and entertainment via a wide variety of networks, wired or wireless.
The WiMAX Forum maintains that broadband will help solve the digital divide in Brazil by making the Internet available throughout urban and rural Brazil and to all socio-economic classes. Each month of delay in the deployment of wireless broadband translates into a real economic loss to Brazil as improvements in the economy and quality of life are delayed. "It is crucial not to lose the perspective that any investment requires a fair and reasonable return to be sustainable. Spectrum limitations should be used carefully because they run the risks of imposing suboptimal use of spectrum and of generating unsustainable businesses. With Brazil falling behind the world’s leading nations on broadband deployment, it is imperative for Brazil to utilize its spectrum assets with available technologies such as WiMAX to drive broadband availability and adoption today", stated Dr. Mo Shakouri, vice president of WiMAX Forum.
Another topic pointed out by WiMAX Forum is its concerns with the spectrum cap proposed in the Public Consultation. "We are concerned that such a regulatory asymmetry could create an uneven playing field for the service providers that will operate in these bands. In this sense, we would recommend ANATEL to adopt a single consistent criteria, which must be technologically neutral", reinforced Dr. Shakouri.
The WiMAX Forum recommends that public policies facilitate new wireless broadband deployments and avoid pre-determining technologies. The organization points out that the more flexible the opportunities for innovative service offerings, the more conducive to investments the spectrum will be. "With greater flexibility, carriers and investors can evaluate their business plans taking into consideration a wider set of products and services that the market demands. This is particularly important when considering the long period of time normally required for infrastructure investments to mature and achieve profitability. Companies investing now need to consider their businesses over a horizon of 10 to 20 years" analyzed Dr. Shakouri.
Global WiMAX Operators Express Interest and Call for Right Conditions
Also announced today, Russian WiMAX service provider Yota expressed a serious interest in investing in the Brazilian market. Yota has already allocated 0.5 US billion for international expansion and is trying to raise an additional 1 US billion. "Latin America together with CIS countries are the strategic regions for Yota's international expansion," said Yegor Ivanov, international development director for Yota. "We are looking at the Brazilian market as well, however it is essential that regulation in this country offers a flexible licensing of spectrum in addition to a minimum of 30 MHz per operator to allow for Yota to be most innovative with our service offerings."
About the WiMAX Forum®
The WiMAX Forum® is an industry-led, not-for-profit organization formed to certify and promote the compatibility and interoperability of broadband wireless products based upon the harmonized IEEE 802.16e/ETSI HiperMAN standard. A WiMAX Forum goal is to accelerate the introduction of these systems into the marketplace. WiMAX Forum Certified products are interoperable and support broadband fixed, nomadic, portable and mobile services. Along these lines, the WiMAX Forum works closely with service providers and regulators to ensure that WiMAX Forum Certified systems meet customer and government requirements. Through the WiMAX Forum Congress Events Series of global trade shows and events, the WiMAX Forum is committed to furthering education, training and collaboration to expand the reach of the WiMAX ecosystem. For more information, visit the trade show link at www.wimaxforum.org.
"WiMAX Forum," the WiMAX Forum logo and the WiMAX Forum Certified logo are registered trademarks of the WiMAX Forum. "WiMAX," "Mobile WiMAX," "Fixed WiMAX," "WiMAX Certified," and "WiMAX Forum Certified" are trademarks of the WiMAX Forum. Third-party trademarks contained in this document are the property of their respective owners.
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