Wireless internet has come of age
The launch of broadband wireless internet access (BWA), based on the WiMAX technology, in Malta in recent months has not gone unnoticed on the international scene. Vodafone's decision to deploy WiMAX in Malta "must have sent shudders through the LTE...
The launch of broadband wireless internet access (BWA), based on the WiMAX technology, in Malta in recent months has not gone unnoticed on the international scene.
Vodafone's decision to deploy WiMAX in Malta "must have sent shudders through the LTE (long-term evolution) vendors" according to Pyramind Research as reported recently in ITWire new service.
Vodafone Malta is the first of three licencees to commercially launch its WiMAX or internet broadband wireless access (BWA) a few months ago. The other two are Go Mobile and Cellcom, the latter being a consortium of local internet service providers (ISPs).
The ITWire report says Malta might be one of Vodafone's smallest markets, but Pyramid Research sees the move as highly significant, says the report.
Pyramid contends that: "Just a year ago, for a GSM operator, in particular, to adopt a multi-technology network strategy was unheard of. Many assumed that the GSM operators were inherently committed to LTE. No longer is that the case."
Vodafone Malta has deployed Airspan's HiperMAX 80216d "fixed" WiMAX base stations and modems to offer bundled mobile, fixed voice, and data services to residential and business customers.
Pyramid Research reportedly said: "Vodafone, owing to its scale, is an agent of change in the operator community and we expect others to follow its trajectory. With operators present in different markets and looking for new revenue sources, there is no 'one-size-fits-all' technology, but the wrong technology can set an operator back years."
Vodafone Group last year announced a strategy to move beyond cellular into the full range of telecoms services. It is already offering fixed-line broadband in Europe and fixed mobile converged services in several countries, Malta being placed on the frontline.
The new chief executive officer of Vodafone Malta, Iñaki Berroeta, explained the company's strategy for WiMax and HSDPA, the latest update in fast 3G mobile technologies.
"Vodafone is moving to a total communication company and will use any appropriate technology for the benefit of our customers. WiMAX is a perfect technology to deliver a home broadband solution for a market like Malta. In Malta we continue deploying HSDPA as the best solution to deliver mobile broadband."
Sandro Pisani, the chief strategy officer at the mobile operator, makes an important distinction between WiMAX and HSDPA in the delivery of fast internet access.
"As we have mentioned during the launch, Vodafone Malta views WiMAX as enabling the delivery of fixed/nomadic internet and the provision of fixed telephony over our own geographic numbering. Definitely the BWA licence has enabled Vodafone Malta to move beyond cellular into the total telecoms range of services. We believe that mobility is best delivered over 3G."
In other words, WiMAX is mobile up to a certain point. You can take it to your summer residence but you can't use it in a car running at a high speed, for example. On the other hand, HSDPA provides total mobility with a SIM card inserted in a small modem connected to a computer or laptop via a USB port.
With the launch of WiMAX, only by Vodafone Malta so far, and HSDPA by both incumbent mobile operators in Malta, the Maltese internet user now has a good choice of access technologies that include the established ADSL and cable access.
Although ADSL and cable internet, delivered through a cable with no mobility, are established broadband access technologies, WiMax and HSDPA are starting to make inroads in the local market thanks to an aggressive marketing strategy by both Vodafone Malta and Go Mobile. The two incumbent operators are locked, right now, in a price war over HSDPA internet access.
Two weeks ago Go Mobile reduced its rates for HSDPA internet access to just under Lm10 (€23) a month, following another reduction made just before summer. Then a few days later Vodafone Malta launched new internet and fixed telephony packages for home and business users.
From as low as LM5.95 (€13.86) a month, users get an internet service with a speed of 1Mbps and 10Gbytes in free downloads.
For higher speeds, Vodafone customers can opt for a 2Mbps Internet speed and 20Gbytes in free downloads for LM9.87 (€23) a month. The modems are being given for free.
These rates from both mobile operators are extremely competitive with ADSL and cable internet packages.
While Go Mobile claims it's the only local network to provide HSDPA access nationwide, Vodafone Malta insists it has better quality coverage in the zones reached by its HSDPA technology and is confident it will have nationwide coverage by the end of this year.
Another indication that the broadband wireless market is getting hot is the fact that a licence to provide such a service is highly prized.
Last month, the marketing manager of Melita Cable, Franco de Gabriele, lamented that: "Today only one company has launched the service WiMAX according to the original obligations. This proves our initial thesis that companies applying for the licence wanted to have the licence to control the space rather than providing new opportunities for customers. Melita is still hopeful of obtaining such a licence."
Melita had ranked fourth in the bidding process for the three WiMAX licences made available by the Malta Communications Authority (MCA).
Albert Gouder, marketing manager at Go Mobile, categorically refuted the allegation that acquired its BWA licence without the intention of offering any service.
"Go Mobile is experiencing a delay in deploying its BWA network according to licence obligations because it wants to ensure that the system selected would be according to the latest industry standard, known as 'WiMAX Revision e'. Most equipment suppliers are not yet in a position to provide commercial equipment certified and tested according to this standard, and which operates within the frequency band for which Go Mobile has been licensed by the MCA."
Mr Gouder reminded that meanwhile Go Mobile is offering HSDPA and thus "consumers are not being deprived of any service opportunities as regards wireless broadband access."
However, both Go Mobile and Cellcom are facing penalties as they should have rolled out part of their network by last July.
"The MCA is still finalising the sanctioning methodology. The sanctioning process has therefore not yet started," an MCA spokesman confirmed. The decision should be taken this week.
Vodafone's decision to deploy WiMAX in Malta "must have sent shudders through the LTE (long-term evolution) vendors" according to Pyramind Research as reported recently in ITWire new service.
Vodafone Malta is the first of three licencees to commercially launch its WiMAX or internet broadband wireless access (BWA) a few months ago. The other two are Go Mobile and Cellcom, the latter being a consortium of local internet service providers (ISPs).
The ITWire report says Malta might be one of Vodafone's smallest markets, but Pyramid Research sees the move as highly significant, says the report.
Pyramid contends that: "Just a year ago, for a GSM operator, in particular, to adopt a multi-technology network strategy was unheard of. Many assumed that the GSM operators were inherently committed to LTE. No longer is that the case."
Vodafone Malta has deployed Airspan's HiperMAX 80216d "fixed" WiMAX base stations and modems to offer bundled mobile, fixed voice, and data services to residential and business customers.
Pyramid Research reportedly said: "Vodafone, owing to its scale, is an agent of change in the operator community and we expect others to follow its trajectory. With operators present in different markets and looking for new revenue sources, there is no 'one-size-fits-all' technology, but the wrong technology can set an operator back years."
Vodafone Group last year announced a strategy to move beyond cellular into the full range of telecoms services. It is already offering fixed-line broadband in Europe and fixed mobile converged services in several countries, Malta being placed on the frontline.
The new chief executive officer of Vodafone Malta, Iñaki Berroeta, explained the company's strategy for WiMax and HSDPA, the latest update in fast 3G mobile technologies.
"Vodafone is moving to a total communication company and will use any appropriate technology for the benefit of our customers. WiMAX is a perfect technology to deliver a home broadband solution for a market like Malta. In Malta we continue deploying HSDPA as the best solution to deliver mobile broadband."
Sandro Pisani, the chief strategy officer at the mobile operator, makes an important distinction between WiMAX and HSDPA in the delivery of fast internet access.
"As we have mentioned during the launch, Vodafone Malta views WiMAX as enabling the delivery of fixed/nomadic internet and the provision of fixed telephony over our own geographic numbering. Definitely the BWA licence has enabled Vodafone Malta to move beyond cellular into the total telecoms range of services. We believe that mobility is best delivered over 3G."
In other words, WiMAX is mobile up to a certain point. You can take it to your summer residence but you can't use it in a car running at a high speed, for example. On the other hand, HSDPA provides total mobility with a SIM card inserted in a small modem connected to a computer or laptop via a USB port.
With the launch of WiMAX, only by Vodafone Malta so far, and HSDPA by both incumbent mobile operators in Malta, the Maltese internet user now has a good choice of access technologies that include the established ADSL and cable access.
Although ADSL and cable internet, delivered through a cable with no mobility, are established broadband access technologies, WiMax and HSDPA are starting to make inroads in the local market thanks to an aggressive marketing strategy by both Vodafone Malta and Go Mobile. The two incumbent operators are locked, right now, in a price war over HSDPA internet access.
Two weeks ago Go Mobile reduced its rates for HSDPA internet access to just under Lm10 (€23) a month, following another reduction made just before summer. Then a few days later Vodafone Malta launched new internet and fixed telephony packages for home and business users.
From as low as LM5.95 (€13.86) a month, users get an internet service with a speed of 1Mbps and 10Gbytes in free downloads.
For higher speeds, Vodafone customers can opt for a 2Mbps Internet speed and 20Gbytes in free downloads for LM9.87 (€23) a month. The modems are being given for free.
These rates from both mobile operators are extremely competitive with ADSL and cable internet packages.
While Go Mobile claims it's the only local network to provide HSDPA access nationwide, Vodafone Malta insists it has better quality coverage in the zones reached by its HSDPA technology and is confident it will have nationwide coverage by the end of this year.
Another indication that the broadband wireless market is getting hot is the fact that a licence to provide such a service is highly prized.
Last month, the marketing manager of Melita Cable, Franco de Gabriele, lamented that: "Today only one company has launched the service WiMAX according to the original obligations. This proves our initial thesis that companies applying for the licence wanted to have the licence to control the space rather than providing new opportunities for customers. Melita is still hopeful of obtaining such a licence."
Melita had ranked fourth in the bidding process for the three WiMAX licences made available by the Malta Communications Authority (MCA).
Albert Gouder, marketing manager at Go Mobile, categorically refuted the allegation that acquired its BWA licence without the intention of offering any service.
"Go Mobile is experiencing a delay in deploying its BWA network according to licence obligations because it wants to ensure that the system selected would be according to the latest industry standard, known as 'WiMAX Revision e'. Most equipment suppliers are not yet in a position to provide commercial equipment certified and tested according to this standard, and which operates within the frequency band for which Go Mobile has been licensed by the MCA."
Mr Gouder reminded that meanwhile Go Mobile is offering HSDPA and thus "consumers are not being deprived of any service opportunities as regards wireless broadband access."
However, both Go Mobile and Cellcom are facing penalties as they should have rolled out part of their network by last July.
"The MCA is still finalising the sanctioning methodology. The sanctioning process has therefore not yet started," an MCA spokesman confirmed. The decision should be taken this week.