India WiMAX operator has LTE plan B
BSNL is mandating its franchises to switch from WIMAX to LTE if LTE should become successful
Published: 7 September, 2010
READ MORE: India | BSNL | LTE | WiMAX
When the Indian BWA spectrum auctions concluded earlier this year, it was assumed that WiMAX would be the technology of choice for the 2.3GHz TDD spectrum on offer, and the two state-owned telcos, BSNL and MTNL, made early commitments to the wireless standard. However, now that deployments are underway in earnest, word has it that BSNL is mandating its franchises to switch from WIMAX to LTE if LTE should become successful.
In many respects, India is an ideal candidate for WiMAX deployment. The country has a relatively low level of cellular penetration and has a regional spectrum licensing mechanism that facilities both national and regional operators - a set-up which is supportive of new entrants into the market who are not tied to a legacy cellular technology. India's limited fixed infrastructure and low broadband penetration (according to a Akamai, India places 100th on the world broadband rankings) also make WiMAX an attractive option, even for established carriers who're looking to exploit wireless technologies to reach the millions of potential customers in country's vast rural areas.
It was assumed that WiMAX would pretty much have the Indian market to itself, particularly since LTE was traditionally seen as an FDD wireless technology and therefore incompatible with TDD spectrum. But then the TDD flavour of LTE came along. Championed by Qualcomm and influential unpaired spectrum holders like China Mobile, a TDD version of LTE has been pushed out. Although standardisation was initiated two years later than paired LTE (FDD LTE), it has more or less caught up and reached commercial viability.
Spurred by the momentum behind TD-LTE, Qualcomm decided to bid for an India license in order to promote the TDD standard and won spectrum in several (regional) circles. Qualcomm has now named two partners for its Indian broadband wireless venture, Global Holding and Tulip Telecom, and intends to exit the venture once it has succeeded in establishing a beach-head for TD-LTE technology in country.
Four companies were recently awarded WiMAX deployment contracts by BSNL - Teracom, Take Solutions, Adishwar India and Ampoules- and they'll share a portion of their revenues with the state-owned carrier. But BSNL has clearly taken note of the LTE developments. The wide support which LTE has secured worldwide and the traction which it's gained in BNSL's own backyard seems to have triggered a major concern. Should LTE vastly outpace WiMAX in terms of deployments and technical evolution then WiMAX operators would be at an economic and interoperability disadvantage. As a result, according to a report in The Economic Times, BSNL has made its franchises contractually commit to converting to LTE in the event that the other operators in the country support the standard.
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