SUPPORT SYSTEM

Calcutta, Dec. 16: Intel Corporation is interested in a local partner for its foray into WiMAX in India.

On his visit to the country last year, Craig Barrett, chairman of Santa Clara-based Intel, highlighted the WiMAX technology’s ability to connect remote areas and bridge the digital divide.

Intel has started a pilot WiMAX project in Baramati, near Pune. The company wanted to do trial runs in many cities and was also in talks with the Bengal government.

However, delays in the allocation of spectrum have forced it to do the work on a smaller scale, at Baramati.

“Long range wireless broadband access system through WiMAX, which can deliver large amounts of bandwidth economically, is important for India. However, issues such as revenue models and infrastructure in difficult terrain need to be sorted out,” said Sandeep Aurora, director — sales and marketing group, South Asia, Intel Technology India. “Therefore, entering into a partnership with a telecom service provider makes perfect sense,” he added. Arora did not give any details on possible partners.

WiMAX, or worldwide interoperability for microwave access, is a telecommunications technology aimed at providing wireless data over long distances in a variety of ways, from point-to-point links to a full mobile cellular type access.

It delivers high-speed connections without requiring a cable. However, the technology is costly.

Wi-Fi is a technology similar to WiMAX, but it has a smaller coverage — only the last 100 metres. WiMAX can send signals over 30 miles.

Subscriber base

According to a forecast by Report Buyer, India will have around 21 million WiMAX subscribers by 2014.

In India, last mile connections are done with copper and fibre optic cables, which are difficult to lay. The country has only 2.5 million broadband subscribers.

The government has targeted to provide Internet services to 40 million people by 2010, 50 per cent of whom will have access to broadband connections. BSNL and VSNL have issued22 requests for proposals for WiMAX equipment that include telephones, modems and set top boxes.

Reliance Communications has already started the service in Bangalore, while Aircel has been offering the service to companies for over a year. Under Reliance’s scheme, a subscriber can sign up for about Rs 700 per month.

Airtel plans to launch wireless broadband and WiMAX in 300 towns. It is targeting the small-and-medium-business segment using a combination of 3.3-3.4 GHz and 5.8 GHz.

However, spectrum allocation is an impediment the companies will have to contend with. Prices of WiMAX customer process equipment have reduced to $140 from $300 for a full-feature set. It is expected to touch $100 by the first quarter of 2008.