Linux and Open Source

Steven J. Vaughan-Nichols & Paula Rooney

Is Sprint Clearwire a game changer?

By | September 30, 2008, 8:19am PDT

Summary: If you combine the cost of today’s fixed and mobile broadband you pay $130/month, after taxes. If Clearwire can bring that in for half the price, with equal service and a decent TOS, I would switch in a heartbeat.

Sprint Clearwire logo from CNETThe devil is in the details but it could become one.

The launch of Clearwire’s WiMax service in Baltimore, under the brand name Xohm, has already drawn protests from consumer advocates complaining that its acceptable use policy allows Sprint to impose bandwidth caps.

WiMax, or 802.16, can use licensed or unlicensed frequencies to deliver speed up to 75 Mbps with cell towers three miles apart. The addition of mobility specs in 2005 made this competitive with cellular as well as fixed broadband, in theory.

Nearly every ISP contract now includes language limiting usage. A single user running BitTorrent non-stop can slow others’ traffic on just about any system out there. The problem needs a technical fix and until we get one everyone is applying a legal band-aid.

But as our own John Morris notes, Clearwire’s pricing of $25/month for home access and $30/month for mobile, without a contract, is more than competitive.

If the bandwidth cap is competitive with cable, it means you can dump your cable modem and get mobile broadband anywhere free.

That is, if the bandwidth cap is competitive. And as John Karl Bode at DSLReports notes, that’s your problem. Contracts are so vague you can’t be certain of anything.

When T-Mobile put a 1 GB cap on service with Android, they were hammered for it, so they put in a vague clause in the Terms of Service that might just mean the same thing.

AT&T obviously thinks this could be a game-changer. Otherwise, why are they working so hard to stop it?

They are not protesting Verizon’s purchase of AllTel, which will push AT&T’s mobile service back to second place in market share. (Oh, right. AT&T tried to do the same deal before Verizon swooped in.)

C|Net’s own Marguerite Reardon is skeptical this deal can work, and unless credit markets unfreeze any new build is dicey. Too many partners, she says, and WiMax development may lag as cellular networks move to the competing LTE standard.

Maybe. But if you combine the cost of today’s fixed and mobile broadband you pay $130/month, after taxes. If Clearwire can bring that in for half the price, with equal service and a decent TOS, I would switch in a heartbeat.

And so would others.

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Topics

Dana Blankenhorn has been a business journalist for 30 years, a tech freelancer since 1983.

Disclosure

Dana Blankenhorn

Dana Blankenhorn has been a journalist, writer and part-time futurist for over 30 years.

At the present moment I run only a personal blog in addition to my ZDNet open source blog.

DanaBlankenhorn.Com has the subtitle The War Against Oil. In the past I have used it to write about political history, e-commerce, personal matters, some ideas related to open source, and The World of Always On, which is the idea of using sensors, motes and RFID to turn WiFi links into platforms for applications which live in the air.

My IRA account at Schwab holds a few tech shares, most notably some Intel and Applied Materials, but there are no open source companies in it. I don’t even own any CBS stock.

Biography

Dana Blankenhorn

Dana Blankenhorn has been a business journalist for nearly 25 years and has covered the online world professionally since 1985. He founded the Interactive Age Daily for CMP Media, and has written for the Chicago Tribune, Advertising Age's "NetMarketing" supplement, and dozens of other publications over the years.

Talkback Most Recent of 2 Talkback(s)

  • Free Enterprize
    'And so would I'

    This is the heart of the free enterprize system that is supposed to give us better values, such as this, over time. Now if they could just extend the range to 10 miles or so... wink
    ZDNet Gravatar
    jeff1@...
    30th Sep 2008
  • RE: Is Sprint Clearwire a game changer?
    Looking forward to changing - range will not be an issue if the towers are there and if they are building on the existing cell towers then they have more than enough range for most users.

    Way to go Sprint!!
    ZDNet Gravatar
    srhummer@...
    1st Oct 2008

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