ROW International News Briefs

CTIA comments on IP-enabled services proceedingThe Cellular Telecommunications and Internet Association (CTIA) writes in comments to the Federal Communications Commission’s IP services proceeding that the market for such services is highly competitive and therefore doesn’t require economic regulation because such regulation is "reserved for monopoly providers or in instances of market failure." Highlighting the mobile wireless industry, the CTIA notes: "…a competitive market produces optimal consumer benefits, most notably a multiplicity of choices among, and control over, the choice of providers, price plans, service options, coverage areas, and much more. For these very same reasons, the IP-enabled services market should be allowed to continue to innovate towards achieving social policy goals such as emergency response, law enforcement access, and disabilities access." The CTIA adds that the FCC can’t act prematurely because it may in fact damage future development in this space. "Consumers in fact may be deprived of the most technically advanced and economically affordable services, and precious financial investment may be squandered, if the commission acts prematurely to prescribe a specific path towards these goals," the U.S. wireless industry association writes in the July 14 summary of its position. The CTIA also suggests that the base of those required to contribute to universal service should be broadened and that the commission should consider whether there could be a reduction for high subsidy levels over time. Mobile handset shipments this year to be strong, In-StatNew research from In-Stat/MDR shows that mobile handset shipments will be strong again this year as the industry rides the upward curve of the overall economy. The high-tech market research firm says that handset makers are trying to fill the surging demand for handsets both in emerging and mature markets. In-Stat notes, however, that not all handset manufacturers will enjoy banner years. It says that Samsung, LG and Sony Ericsson will experience the most growth, while Nokia is likely to lose market share but still maintain a lead over Motorola. Of note in this sector is Audiovox’s decision to sell its handset business to UTStarcom. SBC set to expand Wi-Fi footprint through roamingSBC Communications Inc. has inked a series of agreements that will see the company significantly expand its Wi-Fi network footprint. One important deal will allow the company’s FreedomLink subscribers to access hotspots in Caribou Coffee shops across the United States. Concurrently, SBC has signed roaming agreements with Concourse Communications, Telmex and Wise Technologies, giving its customers access to hotspots at a variety of airports, retail locations, hotels, universities, and hospitals in the U.S. and Mexico. S&P report compares U.S. wireless tower operatorsStandard & Poor’s Rating Services has released a report comparing the top five wireless tower operators in the United States. The S&P report, Peer Comparison: U.S. Wireless Tower Operators, rates the operators as follows: AAT Communications Corp. (B-/Stable/--), American Tower Corp. (B-/Positive/--), Crown Castle International Corp., (B-/Watch Pos/--, SBA Communications Corp. (CCC+/Stable/--), and SpectraSite Inc. (B/Positive/--). Combined the five companies have more than US$ 10 billion in debit issued and own more than 50% of the estimated 150,000 cell sites in the U.S. "Today, the business risk profiles of the five rated tower operators range from fairly weak to nearly investment grade, but corporate credit ratings are constrained in all cases by the companies’ still aggressive leverage," S&P analyst Michael Tsao said in a news release. Wi-Fi cell phones to hit market in four monthsAlbert Lin, an analyst with American Technology Research, says investor doubts about the ability of carriers and handset makers to release an integrated Wi-Fi cell phone will be put to rest later this year when Motorola releases one into the U.S. market in four months. This, the analyst says, should benefit not only the top tier handset makers like Motorola and Nokia, but also Wi-Fi chip set makers such as Broadcom and Marvell. He says to avoid 3G dependent players like Lucent Technologies and Ericsson.

ROW International News Briefs

News | July 27, 2004

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