The Present and Future of Wimax in the APAC Region

Kevin Liu

Tuesday, February 15th, 2011

WiMAX — short for ‘Worldwide Interoperability for Microwave Access’ — and a telecommunications protocol that has been bruited about as a true next-generation fixed and mobile Internet-access technology has, since its inception, been viewed by many providers and countries alike as a key component of a rapid, high-performance communications system.

But has this favorable view actually translated to high adoption rates in the Asian region?

According to TelecomAsia, in 2009, there were a total of 71 WiMAX networks—including both mobile and fixed networks—in the Asia-Pacific region, 40 of which were already in active service.

As of June 2009, Wi-Fi Planet reported that WiMAX AX adoption rates in the region had been “a tad disappointing”, pointing to the fact that despite certain encouraging factors—among them strong government mandates in key Asian markets such as Taiwan and India, build-outs in developed markets like Japan and Korea, and a large number of commercial operators offering WiMAX services—the impact of WiMAX in the region was less than desirable. This was chalked up to certain key factors such as the fact that in developed countries such Korea, many of those who might consider the adoption of a cutting-edge technology such as WiMAX AX had already invested in very rapid mobile and/or fixed-line connections. Another factor preventing widespread and/or rapid WiMax adoption was the high rates of WiMAX service vis-à-vis those of more established technologies. Other barriers to adoption included a lack of choice in equipment for customer premises and the availability of the appropriate spectrum across various countries in the region.

Another issue that may have significantly impacted the rate of WiMAX adoption in the region has been the development of competing technologies such as the mobile fourth-generation technology LTE LTE , which competes head on with mobile WiMAX . Consumers and companies in the market for rapid connections may well have become confused and unable to properly distinguish between the two, which may have had a debilitating effect upon WiMAX AX adoption rates. A point in favor of WiMAX AX , however, is that LTE LTE LTE is relatively newer than WiMAX AX and as such may cost significantly more than WiMAX AX solutions, which may enhance the attractiveness of WiMAX . At any rate some nations such as Korea and Japan are even making inroads to investing in both solutions.

Significantly, however, China has elected to deploy LTE LTE networks through top provider China Mobile. Huawei Technologies, says IDG, has been tapped to deploy LTE LTE solutions both in China itself and internationally.

Whether LTE LTE LTE may prove more popular or not, and despite the hiccups WiMAX may have experienced in previous years, at this point in time WiMAX is still a preeminent communications solution, and is keen to capture a significant share of the market in the future, especially the market for wireless-broadband solutions. Both developed and developing nations will continue to push for increased deployments. For instance, the Philippines’ Globe Telecom, which operates the largest WiMAX network in Southeast Asia, is to aim to make mobile WiMAX more accessible, while Malaysia’s Packet One is doing its share to help achieve the country’s goal of 50 percent broadband penetration by the end of the year. Other nations such as India, whose state-run telco BSNL SNL SNL is to execute a WiMAX deployment in rural areas, are also following apace.