Verizon Wireless to join Vodafone in upgrade to LTE: CDMA to lose major backer

Verizon Wireless and Vodafone Group plc are planning to move to Long Term Evolution technology as the 4G evolution path for their respective networks, according to remarks by company executives this week.
Arun Sarin, CEO of Vodafone, and Verizon Communications Inc. chairman and CEO Ivan Seidenberg, spoke about the technology choice at the Goldman Sachs Communacopia conference yesterday. Vodafone and Verizon control Verizon Wireless through a joint venture.
Sarin laid out a path toward LTE evolution within the next three to four years. Vodafone relies on GSM- and HSPA-based technology for wireless high-speed data access in its properties abroad, while Verizon Wireless-45% owned by Vodafone-is a CDMA operator whose most recent network upgrade has been to EV-DO Revision A.
Asked if the complementary network evolution was reflective of cementing a long-term relationship between the two companies, Seidenberg called the categorization fair and said that Verizon has looked for stability in its relationship with Vodafone. As penetration rates slow, he added, common networks offer a new avenue for growth.
“Going through a common platform is nothing more than the industry realizing that we can stimulate expansive growth by having a common platform and having the best networks,” said Seidenberg.
“We were pleased that they have looked at this just to complete the issue with Vodafone,” he said. “I think we’re going with some trials with them on WiMAX. We’re doing some other trials with them on selling into the enterprise market. We have rallied around this new 8830 BlackBerry that is the global BlackBerry for us. So we have very good operating relationships with them right now.”
Verizon Wireless recently launched the BlackBerry 8830, which includes a CDMA radio for access to the carrier’s domestic network and a GSM-radio for roaming internationally.
The news marks a serious setback for CDMA backers, as Verizon Wireless is one of the world’s largest supporters of the technology. Indeed, the news puts Ultra Mobile Broadband-which is Rev. C on the CDMA network-upgrade path-into question, as no operator has yet publicly voiced intentions to move toward the technology.
Representatives from the CDMA Development Group were not immediately available to comment.