Wednesday, May 12, 2010

FCC Study Confirms: Fixed Wireless is Least Expensive Broadband Option

As the FCC continues to research (and study, and research, and study, and research some more) about how to best implement their Broadband Plan, one interesting nugget rises to the top. Cost has been one major concern in the push to bring broadband to unserved areas of the country. In fact, it's the single most compelling reason NOT to bring broadband to the unserved areas (sorry farmers). The fact is, cost varies inversely with density and distance from a central office or cable headend. A relatively small chunk of end-users, 250k to be exact, would require over 50% of the entire $23.5 Billion broadband plan budget.

So, ever seeking the most cost-justifiable solution, the FCC's exhaustive research has shown one simple truth (and this should be no surprise to anybody): wireless broadband is the cheapest route. For over 90% of the yet unserved households and businesses in the U.S., fixed wireless broadband is cheaper than any terrestrial network option.

What is most revealing, however, is that in 100% of cases (a figure the government does not throw around lightly) a wireless local loop is the least expensive option for connecting broadband to the premise. From the line to the building, in every instance of a broadband customer, the FCC recommends using wireless, not fiber, to finish the final stretch.

In fact, this same cost advantage can be found regardless of how urban or rural the location is. In nearly every instance, a wireless local loop will require a shorter lead time, less man-hours, and an overall lower cost than terrestrial network. Accel Networks proprietary antenna technology can be installed and provisioned in under 3 days, allowing businesses to (especially new locations and new tenants) to be up and running in no time... and when time is money, that's important.

One last plug for wireless... the FCC also commented on something vital to our economy: competition. Where terrestrial networks are the sole dependency, the ability for multiple providers to serve a single market (and thereby bring much-needed competition) is nil. Wireless is faster to deploy and lends itself to multiple carriers entering the marketplace. Competition breeds innovation and options for consumers. Products such as Accel Networks multi-carrier wireless broadband are made even better as more options come online.

Labels: Broadband Plan, FCC, Fixed Wireless Broadband, Rural Broadband