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News
Issue #2001 - 25 (June 2001)
(Updated June 20,  2001)

TECHNOLOGY

GSM Takes Over TDMA in the U.S.

With the ever-increasing demand for mobile data as well as voice communications, the market forces are beginning to change the American wireless network landscape.

In most other countries a single network standard has been mandated by the government, but the American government’s hands-off approach has allowed carriers to litter the landscape with four incompatible digital technologies operating at different frequencies. This is nowhere close to offering true national coverage.

However, it looks as if one of the four is on the way out.

As its deal with NTTDoCoMo unfolds, AT&T Wireless has announced that it will overlay its GSM/GPRS on its TDMA network this year in order to begin offering 2.5G services. Nokia Networks will provide the wireless provider with GPRS-ready 850 MHz and 1900 MHz radio network systems designed for seamless evolution to 3G, the telecom said.

At present GSM only dots the U.S. network landscape, but industry observers are saying that the market will be split between GSM and CDMA: Sprint PSC and Verizon Wireless will continue to offer CDMA while AT&T Wireless and Cingular Wireless will offer GSM. At present, Cingular still uses TDMA as well.

Consumer research has found that the average customer does not care about the technology, but they do expect clear calls. Cingular’s CEO Stephen Carter has learnt that customers don’t care if its 3G or 4G or 2.5G, they just "expect it (the call) to happen". However, technology changes are important, if the American wireless landscape is ever to resemble a harmonious panorama.

For more information: http://www.att.com/press/item/0,1354,3843,00.html

Mobileinfo Comments and Advisory:  We are delighted at this trend.  For too long, US-based  wireless network infrastructure vendors and operators have rejected the call for standardization. For too long, they have worried about technology issues in a domestic and local context more than customer needs. We in North America must broaden our thinking horizon and make it global. If this is a wakeup call, it is not too late in the afternoon!. North America can still regain some of the lost ground. 

Note: This news release may contain forward-looking statements. Readers should take appropriate caution in developing plans utilizing these products, services and technology architectures.  All trademarks used in this summary are the property of their respective owners.


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