5 years ago...PSINet challenges incumbent telcos with wireless DSL

BT did pull its finger out on the local loop but now WiMax is on the agenda…

11.10.1999: Businesses in the four largest European cities will be offered Internet access using DSL which bypasses the local loop by the end of the year. Internet service provider PSINet has teamed up with wireless broadband service provider Winstar Communications because it is fed up with waiting for the incumbent telcos to open up the local loop.

Businesses of all sizes, from small enterprises to multinational organisations in these cities, will be the first to be offered the service. Ten other cities will follow in 2000.

William Schrader, CEO of PSINet, warned that incumbent telcos stand to lose thousands of customers if they don't co-operate.

11.10.2004: The local loop unbundling debate raged on for some time after this, although BT now claims 99.6 per cent of households and commercial premises will have access to broadband by next summer – even with the 570 exchanges that won't be broadband-enabled.

But wireless broadband is still on the agenda as a potentially lower-cost alternative to DSL and cable broadband services, most notably with the much-hyped WiMax.

WiMax is radio technology that promises two-way internet access at several megabits per second, with ranges of several miles. The advantage for the carriers is that it costs less to set up because roads don't need to be torn up.

Europe is set to lead the adoption of WiMax but a recent report warned that it is still years away from widespread use.