The broadband wireless market has been focused on the area of DSL replacement for the last several years. While this market is tempting, it's not exactly lucrative. DSL prices keep falling, and the incumbent telecoms are prepared for a price war with any new upstarts using WiMax. If the broadband wireless industry wants to succeed, it should focus its energies on offering value-added services, like wireless VoIP, that will help boost ARPU. WiMax service providers should also focus on under-tapped markets, like cheaper backhaul services, rather than just consumer-oriented home broadband. Service providers could also focus on mobility -- once mobile WiMax is available -- and other differentiators that wireless can provide.
For more on new WiMax strategies:
- check out this blog entry