Another one bites the dust: Cisco steps out of the WiMAX game
By Chris Ziegler 
posted March 8th 2010 8:31PM
posted March 8th 2010 8:31PM
It's still far, far too early to call WiMAX a dead technology, but with the second major infrastructure supplier moving away from it in as many months, that's a pretty damning sign, isn't it? After Alcatel Lucent's announcement that it would be scaling back WiMAX investment last month, Cisco has now pulled the plug on its own efforts, citing a desire to stay as "radio-agnostic" as possible in the 4G race. That makes sense for a company that hasn't traditionally played in the wireless game the same way stalwarts like Ericsson and Nokia Siemens have, but the move still lies in stark contrast to Cisco's 2007 acquisition of Navini Networks that brought a host of WiMAX-focused equipment into the fold. Of course, CDMA has managed just fine in the shadow of GSM's global domination over the past decade, so these early warning signs could amount a fat load of nothing by the time we've reached a 4G steady state.
It is far too early to call this race.
If WiMAX is $40/mo and LTE is $60/mo, I'd go with WiMAX.
So would the majority of people for whom cellular modems are a luxury and not critical for workplace productivity.
@Smurf
Thats IF wimax is available in your area. Go check the pathetic map they have after working on it for 2 years. If makes ATT 3G map look like a dream.
@HerbieDerb
Well that may be the case with the 3G coverage currently, but considering that Sprint is the first one to start building their network, they will have the advantage. However, if more and more people drop support for the technology I don't know where Sprint is going to get the money to keep the advantage :-\.
@newt45
If I put up 1 4G tower and yell "FIRST!".. do I really have a 4G network?
@HerbieDerb
How about coverage for over 30 million today and on schedule for over 100 million by the end of the year?
@HerbieDerb
It's not easy investing 16 billion in a network and for almost 2 years, its not that bad at all. AT&T has had an opportunity to roll out their HSDPA 3g network in the same amount of time and have failed, in fact, a lesser company like T-Mobile has been able to roll out their higher speed 3G network faster then AT&T, LOL.
@senormatt
Talk is cheap.. especially for Sprint.
@TheRequiem
Thats exactly the reason that T-Mo will be #3 in front of Sprint in the not so distant future.
@HerbieDerb
Man, you're on a rag against sprint. I'm on AT&T, but damn, stop foaming at the mouth. Did Hesse do your girlfriend or something?
@Greenverde
Not at all... having fun schooling these Sprint fanboys. Sprint fanboys have a hard time putting 1 and 1 together. Sit back and enjoy.. feel free to jump in anytime.
btw... Im on VZW and adding HD2/T-Mo in the coming weeks.
Kind of a foregone conclusion once they bought Starent networks, don't you think?
Interesting thought: the WiMAX international bands (3.4GHz, IIRC) fall within a Ham band in the US. If WiMAX tanks, look for lots of surplus gear to build out a high speed backbone for D-star or other uses.
Still have AT LEAST a year before a winner can be crowned. In the mean time, I'll be enjoying 4G starting this summer. Even if LTE wins out, I'll probably stay on WiMAX for a couple more years b/c it'll probably be cheaper and just as fast.
WiMAX and LTE address two different market segments. WiMAX is primarily intended to work in Time Division Duplex (TDD) spectrum that is allocated in single (unpaired) blocks. Most TDD spectrum has been allocated recently and acquired by greenfield operators. WiMAX has a 2-year head start on LTE and helped meet the time-to-market requirements of these new entrants. While LTE has a TDD variant, established CDMA and GSM/UMTS operators will be deploying the Frequency Division Duplex (FDD) version in the paired spectrum blocks that they have traditionally held. WiMAX has a significant installed base and will continue to be the choice of TDD operators. LTE will be the dominant 4G technology in the larger FDD market, but once LTE launches, the two will coexist for some time.
Cisco exited the market because their market share was infinitesimal. The big guys believe that you're either first or second, or you get out. They got out.
@BH
Yeah, Engadget seems to ignore the Motorola gorilla.
@BH
The 2 technologies being different dont mean they "address two different market segments". Of course they will co-exist together at 1st.. but what do you mean "some time". This article is one of several article on WiMax that indicates its doom.
@gerrrg
Motorola.. theres another winner.
I don't get it. Didn't GSM and CDMA, two incompatible technologies, co-exist all these years in the USA? Why would the seeming popularity of LTE mean the death of WIMAX? Besides, I seem to recall an engadget article about a technology that combined both. Oh, here it is
http://www.engadget.com/2010/02/18/beceems-bcs500-4g-modem-splices-wimax-and-lte-into-one-chip-sa/
I have wimax as my primary (and only) internet service - it's the ONLY high speed option available in the town where I live. It was fine for about the first six weeks, but in the last two weeks it's been crapping out like crazy, and right now I'm running at under 1Mbps down (something like .1Mbps up).
Wimax, please continue to work until I move again. At which point, please die.
I'm continually baffled by WiMax haters in the comments. I get a consistent 7mbs (sometimes 10mbs) download speeds on my U301 where I live and work (I live in Sherwood, a suburb on the western edge of the Portland 4G footprint). Am I the exception? I have met a couple overdrive users and they rave about their service and device. Then of course theres the fact that later this year I'll be enjoying these speeds on my phone. What kind of speeds are you getting on LTE... oh...
So how is LTE going to kill WiMax? Because Verizon is behind it? Because theoretical numbers are fun to throw around? I can throw around second gen WiMax numbers too but you'll pay attention to them as much as I pay attention to the LTE numbers. But I have a much more valid reason to ignore them, because I'm enjoying the modest (yet significant vs 3G) numbers I enjoy *right now* on my 4G. I'm sorry but a non-existent service isn't going to kill an existing technology. When LTE rolls out then we can start making real world comparisons. But just because Sprint screwed up your bill 8 years ago or you're a Verizon poster boy doesn't mean WiMax is dead or LTE is king. It's a silly myth who's momentum has been perpetuated solely on speculative articles, rabid fanboy commenters, and vapor.
@webosjunkie
LTE is not going to kill WiMax... Wimax is going to kill itself and fade away. Sprint fanboys have a hard time putting 1 and 1 together. Look at how many negative articles there are regarding Sprint.
@webosjunkie Why don't you tell that long-winded story to the X-box HD-DVD owners, they need some hope to. Oh, and one other thing this is not about Verizon, at all this is about what the world will choose, wake up, you must be the guy that refuses to switch from VHS to DVD because they "Co-exist", when will you learn.
@HerbieDerb
I don't see how that adversely affects Clearwire, since Sprint gave their spectrum to Clearwire.
@1ofdakoolkidz
HD-DVD actually continues to live on in China. That the major studios were bought out by incentives by the BluRay consortium, has no bearing on the future of WiMax, unless someone decides to buy out Clearwire and reuse their assets for LTE.
@webosjunkie Thanks for being the voice of reason, here. Not sure why everyone thinks it has to be a zero sum game. The most laughable comments are the ones where people are preaching about the superiority of a non-deployed technology. Will LTE be great? Sure. Will it be better than Wimax? For some, yes. For others, no. Does anyone here think that once Verizon lights up their LTE network (over the next 24 months) - they will be cost-competitive with Clear? Highly unlikely. Even more unlikely if LTE were to "Kill off" Wimax somehow.
@Conquistador
This is not a WiMax vs LTE debate... this is a discussion on WiMax failing and Sprint failing. LTE not out, we dont know pricing, dont know real worl throughputs.
@gerrrg
Cuz if WiMax fails.. Sprints "First" 4G network fails.
Like the article says: it's too early to call it. We all know how much the game can change in a year's time. It will be interesting to see what happens and how our digital lives are affected.
CDMAIDS
@michaspi As terrible as it might be, I laughed at that.
What is going on here? Just earlier today, I quote Engadget:
"In actual usage, they're [Verizon's LTE] reporting more down-to-Earth figures of 5-12Mbps down (count on 5)."
And now, because Cisco is conceding WiMax (to Motorola I might add), Engadget is dissing WiMax? Let me school you folks...my WiMax costs me $35/month with the modem rental, and I get 6Mbps.
Before you boys (and girls) start writing off WiMax, I think you should wait for Verizon to actually sell their LTE, so we can compare between the two.
@gerrrg
You just schooled us that your WiMax costs $35/month. Whats your point. This isnt a LTE vs WiMax argument. This is a WiMax FAIL discussion.
@HerbieDerb
Point is, people aren't going to flock to LTE just because it's faster, and it's certainly not going to be cheaper. Nothing on Verizon's network is cheap.
@HerbieDerb No, this is a "one of the Wimax equipment suppliers is bowing out" discussion, and you are single-handedly trying to *make* it a Wimax-fail discussion.
@gerrrg
Never brought up LTE. My guess is that pricing would be competitive cuz that what the market dictates.
@Conquistador
One of several that have bowed out. Make your own conclusions... but I would advise you that there is a very good reason why theyre bowing out.
@HerbieDerb You can't have it both ways, either pricing is competitive because there is a *competitor*, or the single incumbent charges whatever they want. Verizon's overall pricing is higher than the other 3 majors, and their CEO is on record as saying that fixed price mobile broadband is not sustainable.
@Conquistador
ATT people said that.. not VZW. Pricing is market driven. If theres a demand, they can charge.
Wow!! inform yourself and look beyond the US.
please read this (and note the date)
http://4g-wirelessevolution.tmcnet.com/wimax/topics/wimax/articles/77921-infonetics-research-report-declares-wimax-out-the-woods.htm
actually read it...
one thing to really make note of:
The report features a Service Provider WiMAX Deployment tracker following more than 300 service providers with live WiMAX services, network rollouts in progress, and trials underway, tracked by region, country, network, subscribers, and announced vendors.
someone provide the # live LTE networks...
In a year from now, when the networks in the US are finally starting to provide patchy national LTE coverage, WiMax will be entering it's second major revision really shining...
Funny thing... Verizon said that LTE testing is getting speeds between 5-12 mbps... WiMax was getting around the same speeds last year... http://gizmodo.com/5174718/exclusive-wimax-uncapped-speed-tests
WiMax and LTE share similar hardware. The two big things are:
1. Sprint/Clearwire have a huge backing from companies like Intel and Google
2. WiMax hardware is cheaper
Considering the fact that when Sprint made the initial investment they chose hardware that could do WiMax OR LTE, and all they'd have to do is change base station the software to transition from WiMax, I'd say Sprint is a lot better positioned than all you haters seem to want to admit.
Also, WiMax is a wireless internet standard, LTE is a standard upgrade path for cellular/mobile phone providers. There's a difference.
The reality also is that LTE isn't exactly living up to expectations. Look at TeleSonora.
@Valicore
LTE not out in US yet
Total speed of the network is only part of the equal. And I think it's only a small part. The most important thing to me about the upcoming 4G technologies are service and the type of devices they are making for it. I want to be on a 4G network that will give me the latest and greatest gadgets on a reliable network. Although, sprint has the advantage now, I wonder what will happen once the rest of world catches up with LTE and manufacturers starts making phones for them. Will all the cool phones be on LTE and not Wimax, similar to how all the sweet phones are made for gsm/hsdpa and not cdma/evdo? I guess only time will tell, but I do think the technology with a bigger global footprint will win out.
Its just sad to see Wimax die
But do we have a wimax alternative coming up ?