Mobile phone manufacturer Nokia is abandoning the 4G network standard WiMax to focus on rival technology Long Term Evolution (LTE).
Nokia says it is choosing the standard because it offers backward compatibility with existing 3G networks and has a clear development plan. Most mobile operators are already planning to use LTE because it is faster than WiMax. The US’s largest operator, Verizon Wireless, is committed to the standard.
Though LTE will operate well below its theoretical top speed of 100Mbps, the technology will enable providers to offer services such as streaming in HD that are not available on existing networks.
Companies such as Clearwire, Google and Intel are backing WiMax because much of the network is already in place. WiMax is already up and running in Baltimore and Portland.
In related news, Nokia is partnering with Verizon to develop a new device to take advantage of the forthcoming 4G network.
The partnership is designed to ensure the two firms are at the forefront of 4G. Nokia and Verizon were frozen out of a large portion of the 3G market due to Apple and AT&T’s exclusive US iPhone deal.
The partnership will give Nokia a foothold in the US, where it has seen its market share almost disappear. For Verizon, the deal offers a chance to take on AT&T with an exclusive product designed to take advantage of the high-speed 4G technology.
Nokia has resisted efforts by mobile operators to control the development of its phones – a policy that has contributed to its lack of success in the US. Verizon recently announced that it is bringing forward the launch of its 4G LTE technology to 2010. Commentators say the early launch is an attempt to regain the initiative from AT&T.
StrategyEye's related categories: WiMAX, Network and Managed Services, 4G, ISPs - Wireless - WiMAX
StrategyEye's related companies: GigaOmniMedia, Clearwire Corporation, Sprint Nextel, Verizon Wireless, Intel, Nokia, Google
