In October 1999, MCI WorldCom (NASDAQ- WCOM ) and Sprint (NYSE - FON, FON PR, FON PRA, FXN, PCS) announced a merger agreement that will bring together two giant telecommunications companies with complementary capabilities. SPRINT offers wireless PCS networking while MCI WorldCom has an expanding fiber optics network.
Coupled with this is the announcement of the deployment of MMDS (Multi channel Multi-point Distribution Services) by both SPRINT and MCI WorldCom later in 2000. MMDS will enable rural and small town areas to have high-speed Internet access where DSL (Digital Subscriber Line) and cable are not available.
In addition, packages for end customers in which long distance and local calling are bundled into single price packages means the ability for MCI WorldCom to provide both local and long distance access to its customers (this is a result of the 1996 Telecommunications Act which effectively deregulated the industry).
DBSP's Benefit
What has this to do with Digital Business Service Providers (DBSP)? Plenty. DBSPs in all sized markets can benefit from this, particularly in such verticals as agriculture, mining, forestry, and related industries. The expansion also means keeping the likes of AOL happy. AOL is MCI WorldCom's single largest customer, and the Time Warner merger has put pressure on expanding broadband and wireless services. Smaller ISP's, and MCI WorldCom's own (rather surprisingly crude) ISP service will also benefit from this.
MMDS brings the capability of on-line performance in the larger cities where the availability of high bandwidth has transformed the business landscape. It also raises the high probability of new dot-com's springing up in more remote corners of the U.S. to support much of the new infrastructure that is likely to develop, as evidenced from Internet history to date.
There is Competition
Competing for the mobile business are also the satellite companies like Iridium LLC. Unfortunately, the Iridium project was planned and conceived in the days before the Internet took off, and was directed at cell phone voice and messaging. With the Internet, the need for broadband has become apparent, and the laying of fiber and microwave repeater networks has made Iridium's technology less attractive.
Currently it is on the verge of bankruptcy and is now under the financial glare of telecom mogul Craig McCaw, who is assessing Iridium's status. Craig McCaw is also chairman of Teledesic LLC, which is building a global broadband Internet-in-the-Sky satellite communications network that should be fully operational sometime in 2004 with 288 satellites.
In 1999 Teledesic completed a major agreement with Motorola to design and build the satellite network, with LockHeed Martin as the satellite builder and launcher. According to Teledesic, "On Day One of service, Teledesic will enable broadband connectivity for businesses, schools, and individuals everywhere on the planet." This month (March 2000), the GlobalStar network of satellites will go commercial, using the current 24 satellites it has launched out of the 48 to be eventually launched. The Globalstar system provides data services as well as voice, but is not broadband.
What the Future Holds
By 2004, there will be 31 separate satellite commercial communications systems blanketing the earth with over a thousand satellites mostly in low earth or mid-earth orbit, with varying bandwidth capabilities. Additionally, many of these satellite systems will be tied together through GMSS (Geostationary Mobile Satellite Standard).
This means that in any country where GMSS is offered, customers of these companies will be able to use their mobile phones. The battle of Satellite, Wireless, and Fiber will be well underway, as will the battle for the applications providers and DBSP's. Implications of the Nokia and Visa Agreement Added to this is the newest piece in the puzzle - the agreement between Nokia and Visa, to develop applications using WAP (Wireless Applications Protocol). WAP is an open global application standard for mobile systems that integrates telephony services with micro-web browsing.
WAP is currently in use for making hotel reservations in Asia and Europe. Other applications are remote ATM banking, as well as a large number of other applications under test. Motorola currently has over 20 projects planned in Europe and the Middle East.
SOURCE:-
http://www.technologyevaluation.com/research/articles/worldcom-sprints-nokia-visa-pays-bill-service-providers-gear-for-wireless-tsunami-15203/
Coupled with this is the announcement of the deployment of MMDS (Multi channel Multi-point Distribution Services) by both SPRINT and MCI WorldCom later in 2000. MMDS will enable rural and small town areas to have high-speed Internet access where DSL (Digital Subscriber Line) and cable are not available.
In addition, packages for end customers in which long distance and local calling are bundled into single price packages means the ability for MCI WorldCom to provide both local and long distance access to its customers (this is a result of the 1996 Telecommunications Act which effectively deregulated the industry).
DBSP's Benefit
What has this to do with Digital Business Service Providers (DBSP)? Plenty. DBSPs in all sized markets can benefit from this, particularly in such verticals as agriculture, mining, forestry, and related industries. The expansion also means keeping the likes of AOL happy. AOL is MCI WorldCom's single largest customer, and the Time Warner merger has put pressure on expanding broadband and wireless services. Smaller ISP's, and MCI WorldCom's own (rather surprisingly crude) ISP service will also benefit from this.
MMDS brings the capability of on-line performance in the larger cities where the availability of high bandwidth has transformed the business landscape. It also raises the high probability of new dot-com's springing up in more remote corners of the U.S. to support much of the new infrastructure that is likely to develop, as evidenced from Internet history to date.
There is Competition
Competing for the mobile business are also the satellite companies like Iridium LLC. Unfortunately, the Iridium project was planned and conceived in the days before the Internet took off, and was directed at cell phone voice and messaging. With the Internet, the need for broadband has become apparent, and the laying of fiber and microwave repeater networks has made Iridium's technology less attractive.
Currently it is on the verge of bankruptcy and is now under the financial glare of telecom mogul Craig McCaw, who is assessing Iridium's status. Craig McCaw is also chairman of Teledesic LLC, which is building a global broadband Internet-in-the-Sky satellite communications network that should be fully operational sometime in 2004 with 288 satellites.
In 1999 Teledesic completed a major agreement with Motorola to design and build the satellite network, with LockHeed Martin as the satellite builder and launcher. According to Teledesic, "On Day One of service, Teledesic will enable broadband connectivity for businesses, schools, and individuals everywhere on the planet." This month (March 2000), the GlobalStar network of satellites will go commercial, using the current 24 satellites it has launched out of the 48 to be eventually launched. The Globalstar system provides data services as well as voice, but is not broadband.
What the Future Holds
By 2004, there will be 31 separate satellite commercial communications systems blanketing the earth with over a thousand satellites mostly in low earth or mid-earth orbit, with varying bandwidth capabilities. Additionally, many of these satellite systems will be tied together through GMSS (Geostationary Mobile Satellite Standard).
This means that in any country where GMSS is offered, customers of these companies will be able to use their mobile phones. The battle of Satellite, Wireless, and Fiber will be well underway, as will the battle for the applications providers and DBSP's. Implications of the Nokia and Visa Agreement Added to this is the newest piece in the puzzle - the agreement between Nokia and Visa, to develop applications using WAP (Wireless Applications Protocol). WAP is an open global application standard for mobile systems that integrates telephony services with micro-web browsing.
WAP is currently in use for making hotel reservations in Asia and Europe. Other applications are remote ATM banking, as well as a large number of other applications under test. Motorola currently has over 20 projects planned in Europe and the Middle East.
SOURCE:-
http://www.technologyevaluation.com/research/articles/worldcom-sprints-nokia-visa-pays-bill-service-providers-gear-for-wireless-tsunami-15203/
0 comments:
Post a Comment