BOSTON – What would a next-generation mobile Internet show be without some discussion about openness? During keynote presentations at the Mobile Internet World 2008 event, Sprint Nextel Corp.’s VP of corporate strategy, Russ McGuire, and Verizon Wireless’ VP of open development, Anthony Lewis, spelled out their respective plans for dealing with – and hopefully prospering in – an open world.
Sprint Nextel’s open initiative will be centered on its recently launched mobile WiMAX network, which the carrier hopes to use to blow up existing mobile data pricing models.
“We started from scratch and asked, ‘How would we do this?’ ” McGuire said of the carrier’s approach to its new network.
While the network is still only available in a single market and analysts have raised concerns about the actual network speeds, many were impressed with an aggressive pricing scheme that provides unlimited access for either $25 or $30 per month, which is about half of what carriers have traditionally charged for unlimited access to their cellular networks.
McGuire also hinted that the carrier was working on pricing models for dual-mode access to both its mobile WiMAX and CDMA networks that would likely be a flat-rate option.
CDMA on Sprint is open too
While the carrier’s WiMAX network has received the most attention recently, McGuire also highlighted the openness Sprint Nextel provides for its CDMA network. The carrier is set to open its eighth annual application developers conference, which brings together developers looking to develop applications for the carrier’s current devices. Sprint Nextel is also moving ahead with its Titan platform that McGuire said would simplify the ability for developers to spread their applications across more devices.
“Titan allows developers to only have to re-write 5% of input-output code for specific devices,” McGuire said, adding that Titan was working with devices running Microsoft Corp.’s Windows Mobile operating system.
Sprint Nextel is also moving aggressively to expand its One Click user interface, which was recently launched on a few Samsung Electronics Co. Ltd. Devices, across its portfolio. McGuire noted that while smartphones and touchscreens were receiving accolades for improving consumer usability, the One Click service would do the same, but on a broader range of devices.
VZW: 400% penetration
While Sprint Nextel is riding the WiMAX wave towards openness, Verizon Wireless is banking that its recent acquisition of 700 MHz spectrum and plans to deploy Long Term Evolution technology will allow it to provide customers a superior experience.
Lewis was so bullish on the prospects for openness that he said current thinking that wireless penetration would tail off around the 100% mark were short sighted and that real wireless penetration could approach 400% once a broader scope of products begin attaching to wireless networks.
“Growth will come from non-traditional connections,” Lewis said.
To that end, Verizon Wireless will move aggressively into attracting device and application developers to its open-development initiative. Lewis pointed out that developers could get devices and applications approved in as little as four weeks and that the carrier would also work closely on different billing options.
Lewis also noted that the carrier was outsourcing the approval process to third-party labs in an attempt to remove any perceived bias Verizon Wireless might have towards certain partners.
As for its network, Verizon Wireless is moving ahead full steam with LTE plans; Lewis said the carrier expects to launch a handful of markets beginning in early 2010. Verizon Wireless’ approach to LTE is seen as very aggressive as the standard has yet to nail down a final specification, but as a Nokia Siemens Networks spokesman recently said, “Who is going to say no to Verizon Wireless?”
In the meantime, Verizon Wireless is supporting the open development plans on its CDMA network with Lewis saying “I need customers now,” and reiterating the carrier’s support for its legacy network.
“We are not going to take down our existing network. We will have more choices, not less,” Lewis said.
As for concerns that a slew of devices and applications could impede the carrier’s network, Lewis explained that most machine-to-machine applications are not expected to use much data, and that an eventual push from consumer electronic makers developing high-bandwidth devices could lead to some discussions to determine the best way to serve those customers, including the possibility of pulling in network support from Verizon Wireless’ parent company Verizon Communications Inc.
