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Two-way paging plan unfolds in Central America

DENVER, United States-U.S. paging operator WebLink Wireless is making plans to implement a narrowband PCS (NPCS) network in Central America using a first-ever infrastructure-sharing arrangement that would enable low-volume providers in the seven-nation region to cost effectively begin providing two-way paging services.

Central America, sandwiched on the narrow strip of land between North America and South America, includes the countries of Belize, Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua and Panama.

WebLink is working with paging infrastructure manufacturer Glenayre Technologies to deploy the project, code-named “Hub,” which would be a key piece in WebLink’s strategy to build a pan-American messaging system through carrier partnerships.

At Global Wireless press time, the companies were in negotiations with Mobilphone de Panama to become the host-or the “hub” provider-in Central America, according to Brooks Marsden, Glenayre vice president of sales for the Americas. WebLink said it is not involved in the network funding, so capital is coming from the region’s carriers, equipment vendors or both.

Under the relationship, the host company would upgrade its one-way paging system to a ReFLEX 25 two-way system from Glenayre, and paging operators in other Central American nations could link their transmitters to the host system-via satellite, cable, radio link or other means-to offer NPCS.

The result: A large broadcast area controlled from one location.

“The Hub project would serve many carriers and allow them to share the cost and make (offering two-way paging) much more affordable,” said Richard Nelson, president of WebLink Wireless International. “The idea is most easily implemented in a tight geographic area like Central America, because you don’t have to worry about trying to link really, really distant systems.”

Under the Hub plan, “each (partner) company will set its own marketing plan, including branding,” explained WebLink spokesman Eric Van Steenburg. “We anticipate that they will reference that they are members of the WebLink Wireless International Network as a secondary branding positioning.”

In addition to its relationship with Panama’s Mobilphone, WebLink currently has existing one-way paging partners in every Central American country except Belize:

Costa Rica-Radio Mensajes

El Salvador-Tele Vip

Guatemala-Tele Escucha

Honduras-Alfacom

Nicaragua-Interbiper

WebLink did not confirm whether it already has negotiated NPCS partnerships with any of these companies.

The project in general is dependent on additional testing and coordination with satellite and other communications providers that would provide the links, as well as partner operators receiving the necessary NPCS licenses, according to Nelson.

WebLink is targeting early 2001 for initial operations.

Potential for two-way

Central America is primarily a poor and developing region. In general, many of the region’s nations have met with political and economic strife in recent decades, and wireless services have been slower to take off in the region than in other areas of the world.

Paging has been a viable option for many users, because it is less expensive than other communications options. Plus, if residents cannot afford or cannot get a wireline telephone in their homes, a pager allows them to receive an alphanumeric message, find a payphone or a phone in a neighbor’s house, and return the call.

However, the base of customers is still limited. So how does a carrier justify upgrading its service?

“If you look at some of the most successful paging companies in some Central American countries, they have less than 20,000 subscribers. Many have less than 10,000,” said Nelson. “For them to go and spend hundreds of thousands of dollars on new or upgraded infrastructure to start two-way is a fairly high cost for them since you need to spend the same amount of money for these infrastructure core updates for 100 customers as you would 100,000 customers.”

Nelson believes key indicators for success of a two-way system in the region include an existing tendency toward alphanumeric paging and a general interest in telemetry services.

In addition, he said, the region is very much tied to the world economy because of its agricultural products. “So the ability for these people to communicate not only locally, but throughout the region and North and South America, is viewed as extremely attractive,” he added.

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