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Debunking advanced mobile networks

18 September, 2002 (19:36) | Telecom

Good article in America’s Network magazine on the problems carriers will have building 3G wirelss networks that marry voice.video and data. The dreamers out there - and I confess to being numero uno amongest them - have hyped this type of convergence for years. The reality though is that there is no business case that can be made at the present for going ahead.

September 13, 2002
By: Frank Bernhard
America’s Network Weekly

Six years have passed since the PCS revolution cheered its way into mainstream headlines, paving an archway of future networks that could marry voice and data seamlessly with unfettered mobility. Well, the truism propped against network technology?s futuristic portrait vs. the current economic reality of collapsing service providers tells us a different story of less-than-certain ground. And during an era of business uncertainty, no one is immune, and few service platforms remain unscathed from the forces that drive trends in mobile markets.

Saddled by infrastructure debt of the previous digital generation enhancement, carriers find themselves flirting with fate regarding investment in the next hurdle of mobility reach ? broadband convergence of voice and data (a.k.a. The Great Promise of the 1990s).

This time, the deck of cards is stacked against telecom players, with eroding customer revenue streams, higher rates of subscriber churn and larger-than-expected costs to provide profitable service in most coverage areas. Securing debt loads to advance the network expeditiously does not always imply a successful outcome, especially when coupled with an ailing economy at large. …America’s Network

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