Often seen as lacking a strong next-generation wireless data roadmap, Cingular Wireless L.L.C. has began to nudge its way up the wireless data ranks thanks to the continued strength of its Mobitex network, the pursuit of spectrum to support high-speed services and partnerships with parent companies SBC Communications Inc. and BellSouth Corp. that have provided access to additional markets and services.
“I think we have one of the most robust business data strategies in the industry,” said Charles Nelson, Jr., president of Cingular Interactive.
While not offering the high-speed cache of its next-generation network, Cingular said it will continue to support its Mobitex network, which it noted continues to be a solid alternative for customers working with low-bandwidth applications like interactive messaging and basic e-mail. The carrier said it has made what it termed inexpensive next-generation upgrades to the Mobitex network and pointed out it escaped relatively unscathed from the East Coast power outage despite a 25-percent increase in messaging data traffic.
“We expect Mobitex to continue to operate and be self-supportive for the near future,” Nelson said.
While the carrier is attempting to migrate customers to its higher-speed offerings, it is more than willing to continue to support those customers who only need the approximately 10 kilobit per second speed its Mobitex network provides, including a large number of Research In Motion Ltd. Blackberry devices and other similar gadgets, Nelson added.
For customers interested in a higher-speed network, Cingular said it was migrating users to its expanding GSM/GPRS network, which should cover approximately 90 percent of its network by the end of this year.
Joseph Baker, vice president of business sales and operations at Cingular, also said the carrier has signed a number of roaming agreements this year that will allow its customers to access GSM/GPRS services across most of the country.
Cingular also has recently implemented the first steps of its third-generation network plans with the launch of EDGE services in Indianapolis and has moved up the completion date of its EDGE deployment from the end of next year to the middle of 2004.
Analysts noted that while Cingular’s data network still lacks the coverage of its nationwide competitors, the carrier is making progress on its deployment plans, which should allow the carrier to compete on common ground with its competitors in attracting enterprise customers.
“Cingular’s EDGE upgrade is too limited to provide the carrier any large-scale benefits,” said Current Analysis. “But, it is a clear indication of Cingular’s data migration path, which will place it on a more level playing field in the future-especially in going after the more lucrative business users.”
Cingular admitted its EDGE launch in Indianapolis has been somewhat hampered by the lack of EDGE-enabled devices, currently limited to Nokia Corp.’s 6200 handset and data cable to attach the device to a laptop computer. Cingular has said it expects its EDGE network to provide average data speeds of around 100 kilobits per second though the Nokia device can only take advantage of a fraction of those capabilities. The carrier said it expects to see additional EDGE devices hit the market early next year.
While Cingular has not made any formal announcements for wireless data services beyond deploying EDGE technology, the carrier has initiated a number of spectrum deals, including a $1.4 billion bid for more than 30 spectrum licenses from NextWave Telecom Inc., which analysts noted could allow the carrier to deploy spectrum-needy UMTS technology when it becomes available. Baker added that in addition to the spectrum needs, Cingular was waiting for the technology to prove itself in the market.
In the meantime, Cingular was recently included in parent company SBC’s plans to deploy more than 20,000 Wi-Fi hot spots in 6,000 locations by the end of 2006. In addition to providing Cingular with a foothold in the increasingly crowded Wi-Fi services market, the deal highlights a growing partnership between Cingular and its parent companies that includes bundled offerings, the Minute Share program and the recently launched FastForward service (see above) that allows wireless customers to automatically forward calls to their landline phones without using their wireless calling minutes.
Cingular also said it was looking at increasingly popular push-to-talk offerings and that it was interested in standards-based platforms similar to what infrastructure providers L.M. Ericsson, Nokia Corp. and Siemens AG are developing.
Despite continued concerns about the viability of wireless data networks, Cingular feels its assortment of offerings will allow it to meet the needs of its customers and will bolster the position of the carrier as the industry begins to implement various government mandates. “We plan to lead with data and customer support as we move ahead and not just with voice,” Baker said.
