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Fixed Wireless Broadband Experiences an Investment Baby Boomlet

Analyst: B. Washburn
Report Date: December 07, 2005
Module: Business Network Services - U.S.

First Avenue Networks, IDT Spectrum, and XO Communications are major holders of fixed wireless broadband spectrum licenses in markets nationwide. These carriers are coming back onto the scene after spending several years away from the public eye. Investors appear to be buying into fixed wireless again, particularly in unlicensed spectrum, where they appear to be looking to ride the rising tide of activity in fixed wireless broadband around unlicensed national information infrastructure (UNII) 5.2/5.8 GHz spectrum.

Fueled by the hype of equipment standardization under WiMAX, a mix of innovative small players is establishing itself in metros around the country, and big incumbents are also dabbling in fixed wireless broadband. These factors suggest that there could also be more action at 24 GHz and above, where licensees hold as much as an entire 1 GHz of spectrum to offer business services at fiber-equivalent speeds.

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