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Report: Wireless broadband could turn carriers into dumb pipes

WiMAX and other increasingly low-cost data options could help turn U.S. wireless networks into dumb pipes, according to research firm Analysys.
The company identified three possible paths for the evolution of the wireless industry, including a scenario in which “wireless data becomes a commodity as a result of the widespread introduction of low-cost, unlimited-usage mobile data packages and the deployment of WiMAX networks.”
In that scenario, wireless networks become data pipes in much the same way that fixed networks have, and “wireless carriers lose control of (and the revenue from) the services that are carried across their networks,” Analysys concluded. Carriers would then be “forced to focus on reducing cellular network costs substantially so that they can deliver high volumes of data traffic profitably.”
Mark Heath, co-author of the report, said that early signs of this scenario are already evident, with Sprint Nextel Corp. offering EV-DO Revision A unlimited usage for $60 per month and deploying a mobile WiMAX network.

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