There is consensus among Maltese mobile operators that the time is not yet ripe to launch long-term evolution (LTE), the next-generation mobile communication technology also referred-to as 4G. Yet, two of them are positioning themselves to provide it when the time is right, while the third is taking a different route.

Mobile broadband will never be a full substitute to fixed internet

The fastest mobile speed available today in Malta is around 43Mbps over 3G and this is not yet nationwide. LTE provides speeds of 100 Mbps that support more data-intensive services such as high quality video, music streaming, mobile commerce, and mobile health services.

Customers can also expect faster response times making interactive gaming and video conferencing available through mobile broadband. More mobile devices will be able to simultaneously use mobile internet without compromising speed.

When speaking to i-Tech about the future of mobile services when he left the chairmanship of the Malta Communications Authority last December, Philip Micallef said:

“I would have seen the MCA taking a pro-active role, not in just making the frequencies available (which they already are) but in terms of sustainability. We already have had talks about the role of MCA as a facilitator for sharing things like radio network access, sharing of masts and other resources which cost money. We will have LTE, and it’s a question of ‘when’.”

According to the Maltese mobile operators, the ‘when’ depends on such factors as demand from customers and having handsets that are LTE-enabled.

“We will launch LTE when there will be a sufficient choice of devices and compelling services that will enable our customers to really benefit from 4G technology,” Vodafone Malta head of techno­logy Andrew De La Torre said.

“Our 3G network today is already capable of supporting speeds which can enable the real time delivery of high definition video content, so our customers are already able to access the richest internet content through their 3G smartphones.”

Go echoed this sentiment: “The switch to LTE will be prompted by the demand which, to date, is not sufficient to justify the investment, due to the low penetration of 4G enabled equipment. Therefore, the timeframes solely depends on the adoption of mobile internet in general and the proliferation of 4G capable device in particular,” a spokesman said.

But a representative of Melita had a slightly different view of the situation.

“LTE is typically deployed in large territories having a low population density and with considerable distances between town or city centres, thus rendering the delivery of fixed broadband services difficult and expensive. It is precisely for these reasons that operators look at wireless solutions, such as LTE, to achieve a higher service reach and acquire new market segments. This is clearly not applicable in Malta where all fixed operators deliver their services nationwide,” the official said.

“We also need to keep in mind that 3G technology is still unavailable to many handsets in the local market and therefore, the adoption of LTE as a mainstream technology is likely to take a number of years.”

Melita looks like it will be taking a different route from Go and Vodafone Malta and, unlike the latter two, it will stick to 3G and instead invest in wi-fi availability across the country.

Melita currently offers nationwide download speeds of up to 100 Megabits through its fibre power (DOSCIS 3.0) network and has already announced plans to roll out a wi-fi mesh extension of this same network to deliver similar ultra-fast download speeds wirelessly across Malta.

Taking cure from the words of the former MCA chairman, both Vodafone and Go see the MCA taking an important role in enabling the launch and sustainability of LTE in Malta.

“Any new technology represents a significant investment for mobile operators, and it is critical that the MCA focuses on creating a suitable environment which minimises deployment costs and provides an opportunity for operators to recover their investment. The MCA should continue taking a leading role in ensuring that operators are encouraged to share access to such assets, either through regulation or brokering of agreements,” Mr De La Torre insisted.

“To keep pace with this growth, mobile operators will need to continue to expand their networks – requiring both investment and the deployment of the infrastructure.”

Go has a similar view but would like the authority to stick to its regulatory function.

“Go believes that the MCA’s role in the supply-side of the market should be to remove possible legal, regulatory or other administrative obstacles for investors and operators to be able to easily launch LTE when market conditions dictate.

“In this context, the MCA has an important role to ensure that sufficient spectrum is made available at reasonable fees and that regulatory and planning rules are kept to the extent necessary to protect basic societal requirements. We do not think that it is useful for the MCA to take a more interventionist approach from the supply-side view.”

Yet, despite the promise of LTE, Go and Melita continue to invest in their fixed-line internet access networks.

“Despite these improvements, mobile broadband will never be a full substitute to fixed internet. Home internet users will continue to increase demand on the home network. A multi-user experience with streaming music, streaming video and other bandwidth-intensive applications can only be delivered reliably and flawlessly with DSL or fibre-based services. The demand from businesses on fibre-based internet services will also continue to grow,” the Go spokesman said.

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