LAS VEGAS-Sprint PCS used the Cellular Telecommunications & Internet Association’s Wireless 2001 show to finalize its widely rumored plans to roll out next-generation services using cdma2000 later this year. While the carrier’s 3G plans surprised few, its claim to have enough spectrum to cover its networks for the next 10 years caught everyone’s attention.
“The clarity, coverage and reliability of a single-frequency, all-CDMA nationwide network provides us with ample spectrum to deploy next-generation high-speed data services with relative ease and at a fraction of the cost when compared to our competitors,” said Charles Levine, president of Sprint PCS. “Recent published reports indicate that our competitors are having trouble with the cost, timing and technology associated with reconstructing their older networks to W-CDMA technology. Despite the speculation and fuss about the delay of other carriers’ 3G services, Sprint is on track for 3G migration starting at the end of this year and is working closely with its infrastructure vendors in testing, preparation and planning for 3G deployment.”
Sprint PCS said its vendor partners included Motorola Inc., Nortel Networks, Qualcomm Inc. and Lucent Technologies Inc., which recently signed a $5 billion deal with Verizon Wireless to provide next-generation infrastructure to the country’s largest wireless operator.
Sprint PCS said the first phase of deployment, using cdma2000 1x, would result in a tenfold increase in data speeds to as much as 144 kilobits per second, double the carrier’s voice capacity and increase handset battery life by 50 percent. The first phase is expected to be implemented nationwide by the middle of next year.
The second phase of deployment, scheduled for early 2003, will see the migration to 1xEV and corresponding data speeds of up to 307 kbps. Later that year, speeds are expected to reach up to 2.4 megabits per second with 1xEV-Data Only, and up to 5 mbps by 2004 with 1xEV Data and Voice.
Oliver Valente, chief technology officer for Sprint PCS, said the company is confident of its migration path time line because of its entire network being concentrated in the PCS spectrum.
“Other wireless competitors have the added challenge of multiple technologies, frequencies, bands and back-office systems to contend with and will be forced to make `forklift’ changes or, in some cases, rebuild their entire network to migrate to 3G,” Valente said. “With cdma2000 as our chosen migration path to 3G, Sprint will be able to upgrade our existing network by simply changing out channel cards in the vast majority if our base stations. This will allow us to make a smooth transition in a substantially more cost effective and timely manner compared to our competitors.”
Levine estimated the first two phases of its migration strategy would cost less than $800 million each.
While not mentioning its competition specifically, Sprint PCS’ reference to its network being made up of a single frequency band was a direct stab at fellow CDMA carrier Verizon Wireless, which has said it will be the first to market with 1x technology. Sprint PCS conceded Verizon Wireless might be the first to market, but it would be the first to migrate its entire network.
Levine noted that after Sprint PCS picked up five licenses during the Federal Communications Commission’s recent auction of PCS licenses, the company was well positioned for the next decade with 30 MHz of spectrum in most of its markets. Sprint PCS said it has invested approximately $3.4 billion for its spectrum holdings nationwide to date.
Sprint PCS also announced plans to join the smart phone market less than a month after Verizon Wireless threw the first hat into the ring. Unlike Verizon, which is using Kyocera Corp.’s QCP 6035 Palm OS smart phone, Sprint inked a deal with Samsung Telecommunications America Inc. for its SPH-I300 handset. The Palm-OS powered phone includes a full color screen and is expected to hit the market by late summer.
While Sprint PCS did not release pricing models for the Samsung handset, Verizon Wireless has been successful selling the Kyocera model for $500 with a service contract.
