With any displacing technology there are bound to be both trends and sub-trends that it will create.
That is certainly the case for us in the LTE space. For example, one trend is that players without long-term telecom track records are getting into the game by winning the rights to their nations’ LTE licenses. This is the case in countries such as India, with Reliance, and Russia, with Yota.
These players are then rolling out their own services to subscribers and simultaneously licensing their networks to other traditional carriers, making for the classic win-win, where everyone should be able to make money.
Of course, these developments are only good news for us, and only bad news for WiMAX, because – looking at the Russia situation, for instance – as the LTE services come online, the WiMAX services are going to be wound down.
Another example of this new-kid-on-the-block trend is Brazil, where Sky, a broadcaster, is deploying LTE.
So that’s a trend. But what has always fascinated me are the sub-trends, like when the iPad was introduced and it resulted in an entire industry around the device, including anything from holding-cases, to screen-protectors to, of course, accessories.
There is a sub-trend developing here in the LTE space as well, which is that the more organic approach (LTE) is winning the day. Just like with music, where the MP3 was the logical next step after CDs, given that music was being digitized, we are also seeing quite an evolutionary process play out with LTE beating WiMAX, even if LTE is also certainly disruptive.
So on the one hand, non-traditional players are creating quite a stir by getting so deeply involved so quickly. On the other hand, there is a certain natural development we are seeing on the technology side that is sure to give peace-of-mind to anyone close to the industry.
- Eran Eshed