Mobile WiMAX standard set to drive technology's growth

Despite claims that the WiMAX market is set for rough waters, one analyst firm noted in a recent report that new specifications for the technology and overall growth in fixed/portable WiMAX deployments around the world are creating a “sizable” market for WiMAX equipment for the next 10 years.
Visant Strategies noted in its report, “Fixed, portable and mobile WiMAX: Building a market today and influencing choices tomorrow,” that new specification for 802.16m, also known as mobile WiMAX, will address a number of shortcomings with the 802.16e WiMAX standard, including improving costs and providing a more appealing business model.
“Most mobile carriers have committed to LTE for 4G, sometimes after HSPA+, but WiMAX equipment makers will still enjoy a vigorous market” said Andy Fuertes of Visant Strategies. “Low-cost PC initiatives, falling WiMAX costs and the global availability of the 3.5 GHz band for basic fixed broadband services presents a very large opportunity for WiMAX equipment vendors.”
Visant forecasts that WiMAX equipment revenues will surge to more than $35 billion by 2016 fueled by mobile WiMAX subscriber growth increase more than eight times current levels to more than 1 billion customers worldwide.
“There will be a very large fixed broadband audience by 2016, over one billion according to the findings in the report, and fixed/portable WiMAX will account for a good share of this audience and help seed mobile WiMAX use as these same carriers expand their coverage area in many emerging regions,” said Larry Swasey of Visant Strategies. “We are already seeing WiMAX deployments in emerging economies that allow intra- and inter-city portability, the beginning of the seeding.”
In-Stat noted in a report last month that WiMAX could be in for some challenges as competing technologies like LTE begin coming to market. The firm did note that it expects worldwide WiMAX subscription revenues to approach $30.2 billion in 2014, though major hardware vendors have announced they planned to stop WiMAX product developments.
Maravedis expressed similar concerns, noting that its research has shown carriers are concerned about the lack of support for the 802.16m standard, which could dampen enthusiasm for greater WiMAX deployments.
The firm added that carriers that have recently acquired spectrum licenses in markets like India may be forced to move ahead with WiMAX due to a lack of options in the short-term, but that eventual migration to the TD-LTE standard could prove a “significant challenge emerges regarding how to manage the millions of WiMAX device users.”