PRESS RELEASE
Broadband Wireless Access
BACKGROUND
The global telecommunications market is undergoing significant change as monopolistic markets are opened to competition and technological advances take place. In 1996, the local communications services market in the US was opened to competition. Following the American example, many countries around the world agreed to increase competition in their own telecommunications markets. Regulatory changes in developed and developing countries throughout the world are facilitating the entry of new carriers (competitive local exchange carriers, or CLECs). While incumbent local exchange carriers (ILECs), traditional carriers such as Bell Canada primarily use existing copper wires for transmissions, new carriers use a variety of wireless technologies such as BWA (Broadband Wireless Access) as well as wireline technologies, such as DSL (digital subscriber line) and cable modems. These carriers are competing for Internet access, additional data services and voice services. Competition has become intense in many areas and carriers seeking to gain market share must provide their customers with access to high quality, value-added services at competitive prices.
Concurrently with the global trend towards competitive local services, an increase in the use of local and wide area data networks and the Internet is occurring. Data-intensive applications are becoming essential tools for all enterprises seeking to share information both internally and with business partners and customers, and to have quick access to mission-critical business applications and, finally, to expand geographic reach. In addition to the increasing importance of data within the corporate environment, we are witnessing the increasing use of the Internet at home. |
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WHAT IS BWA?
BWA is also sometimes referred to as FWA (fixed Wireless Access) is a point-to-multipoint technology whereby a base station located on the top of a building or tower, transmits and receives data & voice via electromagnetic waves at high frequencies (above 2Ghz) called microwaves. The typical topology resembles what is described in the following graph:

WHY BWA?
BWA is used by carriers to provide telecom services to end-users such as small & medium enterprises and residential consumers. Those services include but no limited to: High Speed internet, Telephony, VPNs, Intranets, leased lines, etc. Other technologies are available to provide such broadband services.
BWA is viewed as the quickest available way for many types of users to get broadband network access, for several reasons:
- There’s not enough fiber: While fiber has been deployed in the densest areas of major US cities and other developed parts of the world, it still only reaches a fraction of the users demanding large-bandwidth, high-reliability connections. For example, less than 7% of business buildings in the US are served by fiber-optic cable.
- XDSL: DSL technology improves the data transmission rate of a copper wire network by an impressive factor, and was perceived by many as the panacea for local-loop congestion but its efficiency is limited by distance to the central office and the quality of copper. However, there are a number of limitations of DSL
- Cable modems. Two-way cable modems enable data services to be delivered over network originally designed to provide a television service to residential users. Cable networks connect to the subscriber’s home using cable modems, which have transmission capacity of 10Mbps per subscriber. However, the bandwidth is shared by a number of subscribers and the service deteriorates as more residents go online. In addition, the installed base of cables passes through residential areas and not through business regions.
Generally speaking, we believe that BWA has a valid market wherever it’s uneconomical to lay fiber and DSL, or where cable modems are not available.
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