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Clearwire’s WiMAX Tests: Acquirement of IDT’s Spectrum

IDT - Clearwire's WiMAX Tests: Acquirement of IDT's SpectrumThe Sprint-Clearwire deal gave Clearwire undeniable credibility in WiMAX development, and the company is moving forward with the technology in a big way. Beta tests are underway in Portland, with “more than 70 percent of [the] WiMAX sites for Portland…in construction or on air.” Completion is slated for the end of year, with commercial deployments in that city and 3 others in 2009.

But now they have more than just the hardware; as of July 2nd, Clearwire has leased 3 one-year licenses on the 39 GHz spectrum from IDT Spectrum, 2 of which are in the Oregon-Washington area. You may not have heard much about IDT Spectrum recently, but expect to hear the name much in the near future; they own spectrums nationwide, mostly in the 28 and 38/39 GHz range. As we come upon the dawning age of wireless, the value of spectrum cannot be understated: you need spectrum to do anything wireless–especially for WiMAX, which is contentionless. (That means it can only operate on licensed spectrum because it is built to assume the air is clear. If it isn’t, the equipment just doesn’t work! ). Naturally, some companies are trying to develop equipment to change that, but for now, that is the nature of most WiMAX equipment. Those who bought spectrum when a majority of it was auctioned off by the FCC in the 80s are finally seeing their investment bear fruit, whether they intend to lease or sell –  remember the 700MHz auction earlier this year, which grossed a total of $19 billion?

So Clearwire has hardware, spectrum, and is well underway in deployment; what’s to follow ? If all goes well, 2009 will see Las Vegas, Grand Rapids, Atlanta, and Portland commercial launches as the first four commercial markets for Clearwire’s WiMAX service, primed to follow at the heels of the Xohm launches in Baltimore, Chicago, and Washington D.C. in the fall of this year. The start of the WiMAX nationwide buildout is only months away.

New Estimate on Initial Xohm Soft-Launch

New Estimate on Initial Xohm Soft LaunchThough there were echoes suggesting that Xohm would soft launch in Baltimore, Chicago and Washington, DC early this winter, these plans clearly did not materialize, leaving many wondering when this first big step for Xohm would come to fruition in the United States. As stated on a post on DailyTech, Sprint’s Vice President for Technology Development, Ali Tabassi, says that the time could be this spring.

This piece of information comes as a response to this past Mobile World Congress in Barcelona, where products were enthusiastically displayed with some praises for the WiMAX and murmurs against LTE and competing technologies. Potential users in the United States, however, have yet to see WiMAX developments, making timing ever more crucial for Xohm. Tabassi already acknowledges that delays with Sprint mean that it will mostly likely not reach the hoped-for 100 million subscriber mark this year.

At the same time, though, there is plenty of behind the scenes development that could very well push Xohm ahead. Talks between Sprint and Clearwire are still reported to be near a close, with word of an additional $2 million investment from Intel and probably others. As the deal officially comes to a close the path ahead for Xohm should become clearer to investors and those interested in the progress of WiMAX.