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3G SPECTRUM AND ACCEPTANCE TOP PANEL CONCERNS

NEW ORLEANS-The fiery politics that once characterized the third-generation standards-setting process is rapidly dying, members of a 3G panel said at the PCS ’99 show last week in New Orleans, but concerns remain over worldwide acceptance of the new standards.

“In order for 3G to succeed, there needs to be fair competition,” said Jim Conran, president of the Global Wireless Consumers Alliance. “All standards must equally be available to all players in all markets. No standard should get regulatory preference.”

That sentiment was echoed by Global System for Mobile communications advocate Scott Harris, managing partner with Harris, Wiltshire & Grannis. “Everyone increasingly believes that the market should decide,” he said. “Let the private sector choose. Harmonize where it makes sense and compete where it doesn’t make sense.”

In recent months, the Operators Harmonization Group, an ad-hoc group of carriers from around the world, decided on a family of Code Division Multiple Access-based 3G standards, ending the heated debates over trying to standardize one CDMA-based technology. The International Telecommunication Union, which sets worldwide standards, expects to complete its 3G specifications of the CDMA family and a Time Division Multiple Access standard soon.

The U.S. government, however, remains concerned that the European Union will not open up to the multiple standards, despite assurances from two former EU members who promise that Europe will adopt policies that encompass multiple standards, said Richard Engleman, chief of planning and negotiations with the Federal Communications Commission.

“The government still has concerns about certain countries that may be providing preferential treatment to one technology,” said Engleman. “Some documents we’ve seen indicate roaming preferences are given to one technology.”

The European Telecommunications Standards Institute already adopted W-CDMA technology, based on the GSM-MAP standard, but through the 3G Partnership Project is working to harmonize the technology with cdma2000, the 3G standard based on today’s cdmaOne technology. But as European countries begin to announce plans to license 3G technology, many specify that roaming preferences will be given to W-CDMA players.

3G technology’s success in the United States will depend on the amount of spectrum given to carriers, said Ted Hoffman, vice president of technology development with Bell Atlantic Mobile, which last week announced plans to merge its domestic wireless operations with Vodafone AirTouch plc, creating one of the largest footprints in the United States.

“By 2001 or early 2002, my 25 megahertz of spectrum will be filled with CDMA and analog customers who want service,” said Hoffman. “How do I get to 3G when I have exhausted spectrum? Large carriers won’t plan for 3G until they are behind the rest of the world.”

BAM has purchased several 10-megahertz personal communications services licenses from Rivgam Communications L.L.C. to address capacity and data needs, but the company also wants to address the fixed wireless market. Frequency agile devices like software-defined radio could help ease capacity constraints, but Hoffman doesn’t believe they will become widely available until 2005.

“By 2003, we’re going to run out of gas,” said Hoffman. “With Rivgam’s licenses, we’re starting to plan today for PCS. We won’t launch until 2002.”

Though the FCC recently only lifted the 45-megahertz spectrum cap in rural regions, it is looking to add spectrum for 3G services, said Engleman. The commission expects to make a proposal by early next year before May’s World Radiocommunications Conference-2000 meeting. The commission may follow guidelines suggested by the Telecommunications Industry Association last year that identifies spectrum in the 2110-2150 MHz band.

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