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In developed markets, LTE is expected to be used in the early years to support high bandwidth data services, usually in a metrozone build-out pattern geared to areas of high demand. This explains the focus on higher frequency bands, such as 2.6GHz in Europe, which are appropriate for urban deployment. However, the prospect of the 'digital dividend' spectrum is too good a chance for carriers to miss, and a rising number are testing LTE in these low frequencies, even though they are mainly suited to sparsely populated regions.

This may put pressure on the WiMAX Forum also to work on an official profile for this spectrum (around 700MHz in north America and India, and 790MHz-862MHz in Europe). Some vendors, such as SOMA, already offer 802.16e equipment for 700MHz, though this i not officially certified by the Forum.

Verizon Wireless has, of course, kicked off the testing of LTE in 700MHz, with a view to using it to supplement broadband in rural areas. In many cases, early build-out of 4G networks in low frequencies may be focused on fixed/nomadic 'wireless DSL' services rather than full mobile broadband, and in metro areas, the lower bands lack the capacity for high level services, and risk interference.

Despite these drawbacks, Vodafone Germany has become the latest cellco to pilot LTE in digital dividend spectrum. The operator has teamed with German public broadcaster WDR and the federal government of North Rhine-Westphalia for its rural pilot, promising download speeds up to 17Mbps. Vodafone is using Ericsson kit and the same platform it previously demonstrated at the CeBIT trade show earlier this year.

Ericsson is also working with another German operator, E-Plus, together with the state of Mecklenburg-Vorpommern, on a similar pilot of rural LTE, for fixed and mobile access, in the 790MHz-862MHz band.

The German government is determined to put its wireless and broadband industries in pole position in Europe to roll out new services, and plans to auction a huge 340MHz of spectrum in various bands to support this aim. Early this year, it called for digital dividend bands to be used primarily for mobile broadband services in rural regions. If approved by the Bundesrat (Federal Council) this month, the regulator could start auctioning licenses before the end of 2009, one of the first countries in Europe to make the move.

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