CCrane WIFI2 Radio

Will WiMax Work?

Techstination feature for Monday, April 16, 2007

Will WiMax work? Not everyone is betting on it. Bloomberg Boot Camp, a report on today's technology. From Sprint to Motorola to Intel…quite a few companies are investing in WiMax, sort of like long range WiFi. The idea is…to bring broadband Internet connection speeds…into your car…or wherever you happen to be. One company that isn't so sure…is Ericsson, which happens to be the world's largest maker of wireless network equipment. CEO Carl-Henric Svanberg….

"We are, as a technology company, very eager to look at every opportunity to develop things and go where the market is going to go. We have a bit of a problem to see that the mobile version of WiMax will really fly and that's whey we haven't been so aggressively involved in that market. It comes back to economies of scale. It comes back to handsets. It comes back to being able to pay off the research and development that has to go in there. We will see but we think they will have a tough fight to get in and get a position." If you take a wait and see approach, do you risk not being a leader and winning a lot of business? "There are two and a half billion subscribers today and the vast majority are on GSM wideband CDMA. I don't think it's a matter of whether we will have a leading position in the field. I think it's a matter of whether WiMax will have any meaningful position that they can grow from."

Ericsson CEO Carl-Henric Svanberg. Bloomberg Boot Camp, I'm Fred Fishkin.