The new system proposed by Lucent system would require three silicon chips, which are 100 times smaller and up to 100 times cheaper than the 10 to 20 gallium arsenide chips used in today’s receivers.

"Because base stations with a silicon-based receiver would be smaller, service providers would have greater flexibility when installing them," said Olga Boric-Lubecke, a Bell Lab researcher. "For instance, the base stations could be placed in less obtrusive locations, such as behind billboards or on top of utility poles. This might help speed the deployment of the mobile Internet as it continues to grow."

Lucent intends to incorporate silicon-based chips in its next generation of wireless networks over the next four to five years, improving the quality of streaming media and rich Internet content, the Associated Press reported.

The company says that silicon-based radio receivers could be used for all existing mobile wireless standards, as well as the forthcoming 3G standards.