The Future of Bandwidth

The downside of fiber is the expense of connecting to an existing network if a company’s office building does not offer it. Going even a half mile out to connect to a fiber network can cost $25 to $30 a foot and will run a company $250,000 to $300,000 in total, Meester says.

Broadband on the Go

For many businesses, employees need hearty bandwidth for their wireless devices to work efficiently and productively off-site. Currently most wireless providers are switching from analog networks to digital third-generation (3G) networks. These 3G networks can handle bigger chunks of data at faster speeds and offer more reliable voice service. Sprint and Verizon operate solely on 3G networks, while AT&T is currently expanding its 3G offerings across the United States.

Simultaneously, some businesses and cities have adopted wireless-fidelity (wi-fi) technology to offer mobile Internet access. By installing equipment in a fixed location, they create wireless “hot spots” such as those within the city of Minneapolis. But many users are displeased with wi-fi’s range, speed, tendency toward interference, and lack of security.

These days, providers are working on the next next-generation technology to meet future needs for wire- less bandwidth. Picking up where wi-fi leaves off is WiMax, a broadband wireless technology also known as 4G. Eventually WiMax will offer a broader geographical range of service at faster speeds than 3G and wi-fi.

Users will install WiMax chipsets in their cell phones, laptops, PDAs, or other electronics equipment, providing access to wireless multimedia applications, from live videoconferencing to high-definition movies. Downloading speeds are two to four megabits per second for 4G, compared to 450 to 700 kilobits for 3G.

“WiMax speeds will be as fast as a screaming monkey,” says Robin Carlton, director of client services and business development at American Business Communication.

WiMax service isn’t available locally, yet. And Carlton cautions that it’s not quite ready for business use—there are still too many unanswered questions about security and integrating WiMax with companies’ enterprise systems. But it will come in the next few years.

So far, there are two major camps of companies teaming to deploy WiMax. Sprint recently merged its WiMax business with Clearwire Corporation. The new entity, named Clearwire, is launching a nationwide WiMax network, attracting substantial investments from Intel, Google, Comcast, Time Warner Cable, and Bright House Networks.

David Diers, region vice president of advanced services at Comcast, says, “This will be broadband on the go. We’ll be able to offer much faster speeds for people to watch live video on their cell phone or laptop.”

Qwest announced this spring that it is aligning with Verizon to sell its wireless services to Qwest customers. Stanoch says that may include WiMax in the future; Qwest is currently monitoring and testing WiMax to prepare for when it is more reliable and scalable.

In general, companies shouldn’t worry if there will be enough fast and affordable bandwidth to meet their needs. Diers adds: “We’ll continually upgrade our network and provide faster speed.”