An Ignoble Experiment: | 12.13.12 | Apple still restricting iPhone 5 to 'approved' LTE networks

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December 13, 2012
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Editor's Corner: Can Gen Y keep mobile broadband from a fiscal cliff?

Also Noted: Kontron
Spotlight On... NPD: Sprint's Android customers are using less data per month
IEEE seeks input on IEEE P802.16r for small cell backhaul; Boingo to provide roaming and data offload solutions to NTT Docomo and much more...

Sprint makes $2.1B offer to buy Clearwire
Sprint Nextel has made a $2.1 billion offer to buy the 49 percent of Clearwire that it doesn't already own, according to a regulatory filing. The deal, if it goes through, would clear up a complicated relationship between the two companies and give Sprint vastly larger spectrum resources. FierceWireless has more. Article

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Can Gen Y keep mobile broadband from a fiscal cliff?

By Tammy Parker

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The mobile industry continues innovating and expanding, but some suggest it may be heading for its own innovation and fiscal cliff in coming years. That would be a shame because the importance of mobile communications is evident in the desperation felt by people who cannot get their smartphone fix whenever they want it.

According to the 2012 Cisco Connected World Technology Report, "90 percent of Gen Y surveyed worldwide said they check their smartphones for updates in email, texts and social media sites, often before they get out of bed."

Note that the report did not say they get up, switch on their laptop or PC, wait for it to boot up and then check their emails, etc. No, Gen Y turns first to the smartphone for the information it needs. "The smartphone has become the device of choice, out of any other device or technology out there, for this generation, more than TVs, more than laptops or tablets, more than desktop computers," Neil Wu Becker, Cisco's director of global research, told me.

No wonder two out of five Gen Y respondents surveyed said they "would feel anxious, like part of me is missing," if they couldn't use their smartphones to stay connected.

Further, 29 percent of Gen Y respondents say they check their smartphones so constantly that they lose count. "Globally, one in five checks a smartphone for email, text and social media updates at least every 10 minutes, and among U.S. respondents, two out of five check at least once every 10 minutes," said Cisco. Further, one-third of global respondents check their smartphones at least once every 30 minutes, and in the United States that figure jumps to more than 50 percent.

Cisco's report was based on a survey conducted by InsightExpress of 1,800 college students and young professionals aged 18 to 30 across 18 countries.

The Pew Research Center's Global Attitudes Project released a related study this week regarding social networking around the globe. The study of people in 21 nations found that most smartphone users visit social networking sites via their handset, while others rely upon their smartphones for consumer and political information.

As usual, the young are considerably more engaged with their cell phones than their elders, with Pew finding double-digit age gaps in most countries for all cell phone activities except making calls. Further, education impacts how people interact with their smartphones. "In 14 countries, respondents with a college education are at least 10 percentage points more likely than those without a college degree to access the internet on their mobile phones," said Pew.

This all adds up to the fact that mobile broadband service is becoming a critical part of daily life, especially among the younger generation. And that is why operators continue investing in their mobile networks as they try to boost their positions in increasingly competitive markets. For example, Deutsche Telekom recently announced that its T-Mobile USA's operation will commit to network capex $4.7 billion in 2013 and $3 billion per year in 2014 and 2015.

But T-Mobile is something of an anomaly, largely because it has a lot of catching up to do in the U.S. mobile broadband market. Telecommunications service providers globally are slowing down capex spending, which will only nudge up at a compounded rate of 1.5 percent from $207 billion in 2012 to $223.3 billion in 2017, according to a report from The Insight Research Corporation.

North America, Europe and the Latin American-Caribbean regions will show little or no growth and only Asia-Pacific and Africa are continuing to make investments in telecommunications hardware and software, said the company.

Not surprisingly, capex spending among fixed-line operators continues to decline, "and the only growth in capex spending comes from the mobile operators in developing countries that continue increase their capital outlays to meet the pent-up demand for service," said Insight Research.

The company added that services in every region will experience "heavy pricing pressure as operators fight over the cost-conscious customers quite willing to delay new device purchases.

Especially alarming is the company's prediction that network investments are going to drop off, just when customers have become seriously addicted to their mobile devices and services.

"The difficulty in finding funding now faced by many operators will certainly slow down, if not derail, the rolling out of investments in NGNs, WiMAX, LTE or converged services," said Insight Research President Robert Rosenberg.

I know I'll be disappointed as a customer if network investments slow down because I am personally relying on my smartphone more and more for information retrieval, navigation, social networking, you name it. My hope is that the demands of Gen Y for always-on connectedness will lay the foundation for continued funding that will support innovation and investments in wireless networking.

The wireless industry has come too far, and become too ingrained in too many people's lives, to simply stagnate when there is still so much promise ahead.--Tammy

P.S. How essential is your smartphone to your morning routine? Vote in the poll on our homepage.

Today's Top News

1. FCC: 3.5 GHz will become the small cell band

By Tammy Parker

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Hoping to jumpstart a U.S.-led spectrum-sharing and small cell revolution, the FCC moved to open up the 3.5 GHz band for use by entities deploying small cells, which will share the spectrum with incumbents.

The commission issued a Notice of Proposed Rulemaking (NPRM) that, among other things, will allow small cell devices to deliver wireless broadband service in the 3550-3650 MHz band via a shared-access scheme.The band is currently used for U.S. Navy radar operations and covers 60 percent of the U.S. population.

The proposed 3.5 GHz Citizens Broadband Service will be covered by a three-tier authorization mechanism and managed by a geolocation-enabled dynamic spectrum access database that is modeled on the existing TV white spaces database. The three proposed tiers of operation are: incumbent access (federal and grandfathered licensed FSS 3.5 GHz Band users), priority access (hospitals, utilities and public-safety entities) and general authorized access (the general public).

"GAA users could include a wide range of residential, business, and others, including wireless telephone and Internet service providers," said the FCC.

The incumbent tier would be guaranteed protection from harmful interference caused by all other users in the band, while priority-access users would have a measure of interference protection in portions of the 3.5 GHz band at specific locations. The general public would be allowed access to the band on an "opportunistic basis" within designated geographic areas, but they would have to live with the interference caused by other users.

"Under our main proposal, users in the Priority Access and GAA tiers would be licensed by rule as Citizens Broadband Service users under Part 95 of the Commission's rules. A license-by-rule approach would provide individuals, organizations, and service providers with 'automatic' authorization to deploy small cell systems, in much the same way that our Part 15 unlicensed rules have allowed widespread deployment of Wi-Fi access points," said the FCC.

The draft NPRM also includes a supplemental proposal to expand the proposed licensing and authorization model to the 3650-3700 MHz band, which would be included in the Citizens Broadband Service licensing framework. Current users in that band would be reclassified as general authorized access users.

The FCC's plan for the Citizens Broadband Service reflects recommendations included in a report issued in July by the President's Council of Advisors on Policy and Technology (PCAST).

"This proceeding represents two distinct policy and technology innovations that have tremendous promise," said Chairman Julius Genachowski.

The first innovation is spectrum-sharing, which maximizes the use of spectrum, though Genachowski said the... continued

Read the rest of the story on the Web

Read more about: 3.6 GHz, 3.5 GHz, Julius Genachowski
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2. Apple still restricting iPhone 5 to approved LTE networks

By Tammy Parker

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Apple's (NASDAQ:AAPL) vetting of operators' LTE networks is apparently quite widespread, at least as far smaller operators are concerned. Tajikistan's leading operator, Babilon-Mobile, has been trying, so far unsuccessfully, to activate iPhone 5 handsets on its LTE network, according to Jafar Asimov, head of the operator's automation department.

Asimov told telecoms.com that Babilon realized it has a problem when iPhone 5 owners, who likely brought their own devices to the network, complained that they could not connect to the operator's LTE network, which was activated October after the company refarmed its former 2G spectrum in the 900 MHz and 1800 MHz bands.

Model A1429 (GSM) of the iPhone 5 supports LTE in Band 1 (2100 MHz), Band 3 (1800 MHz) and Band 5 (850 MHz), but Babilon has discovered that even its own techs cannot activate LTE connectivity on an iPhone 5 without Apple's intervention. "There is no information available about activating LTE," Asimov said. "We got no help and no response from Apple on this."

Rumors have circulated in recent months regarding Apple's alleged insistence that candidates' networks first pass its own independent testing of their LTE network's performance before it will enable LTE functionality on the iPhone 5 units on their network. Apple did not reply to FierceBroadbandWireless' request for information regarding the existence of this apparent network-vetting program and the parameters that operators must satisfy before Apple will authorize iPhone 5 smartphones to access their LTE networks.

It is unclear whether Apple's LTE-network approval mechanism would keep customers of an approved LTE network from using LTE on their iPhone 5 if they roam onto an LTE network that has received Apple's blessing. It seems likely that the vetting program would keep those roamers' iPhones off of LTE and restrict them to a 2G or 3G network.

Asimov thinks he understands how Apple controls the iPhone 5 LTE network access. He suggested the iPhone 5 communicates with an Apple server, which holds a list of approved PLMN (public land mobile network) codes encompassing a country code and network code. Each mobile operator has its own PLMN code, and the codes are overseen by each nation's regulator. If a particular PLMN code is included in Apple's whitelist of preferred LTE networks, then when an iPhone 5 comes online on that network, the handset automatically reveals an LTE switch on its settings panel, Asimov told telecoms.com.

Babilon's is not the first confirmed report of an LTE-vetting program. Swisscom was the first mobile operator to publicly verify the practice, with a spokesman telling telecoms.com last month, "Apple only enables 4G access after testing their device on an operator's live network."

Swisscom, Switzerland's largest telco, launched LTE at the end of November in the 800, 1800 and 2600 MHz bands.

Apparently Apple's LTE restrictions apply primarily to smaller carriers--Babilon has 3 million customers--in relatively smaller markets rather than, say, carriers with small LTE networks in large markets. For example, the iPhone 5 launched with full support for Sprint Nextel's (NYSE:S) fledgling LTE network, which Sprint recently said has reached 43 U.S. markets.

Apple--which only released its first LTE-enabled handset, the iPhone 5, in September--has already gobbled up a 26.7 percent share of the global LTE handset market, according to a recent Strategy Analytics report, which was cited by South Korea's Yonhap News.

Samsung saw its LTE global market share slip from 50.9 percent in 2012's second quarter to 40 percent in the third quarter, according to the report.

For more:
- see this telecoms.com article
- see this Yonhap News article

Read more about: LTE, iPhone 5
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3. Jibe snags $8.3M to expand its cloud-based RCS platform

By Tammy Parker

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Jibe Mobile closed an $8.3 million financing round--with strategic investments from Vodafone Ventures, Tokyo-based game creator MTI and other unnamed investors--which the company will apply to further developing its cloud-based open technology platform leveraging Rich Communication Services (RCS) technologies.

View a larger version of the chart on the Web.

"The combination of these two strategic investors (Vodafone and MTI) really is our story, which is bridging the gap between developers and mobile carriers. This investment validates our vision, which is that in the future all applications are going to have some form of connectivity and 'real-timeness' to them," Amir Sarhangi, CEO and a co-founder of Jibe, told FierceBroadbandWireless.

"Developers need an easy way to enable these capabilities inside their application, and they'll be able to do that using Jibe," he said, explaining that the company's APIs are designed to help developers rapidly incorporate real-time rich communications, including voice, video and low-latency data into mobile apps.

The Silicon Valley company was founded in 2006 and had been self funded until this recent financing round. Jibe has been heavily involved in the GSMA's joyn initiative and was a key contributor to the first RCS-e specification. "We were the company that worked with Vodafone to write the initial spec for RCS-e," said Sarhangi.

Jibe, which uses the shorthand moniker "joyn+RCS5" to describe capabilities available via RCS-e and the more full-featured RCS 5, provides a white-label joyn client called Jibe ON. The company's Private Cloud solution enables operators to deliver RCS services to their customers via Jibe's cloud-based network. "If a carrier wants to launch RCS, we can launch it for them through our cloud," said Sarhangi. "Our cloud from a carrier's perspective almost looks like an IMS system."

Jibe's joynNet function enables joyn service to function on a global scale as it rolls out to individual networks. That scalability is necessary for making joyn competitive against over-the-top (OTT) services as well as making it attractive to application developers and potential OTT partners. "If a carrier wants to launch service globally without waiting for other carriers to launch for interoperability, if they leverage joynNet they can do that using our cloud inter-operating with their IMS backend," said Sarhangi.

The company's App-to-App platform is designed to provide secure, controlled access to an operator's IMS network for app developers, while Jibe's Software Development Kit (SDK) enables developers and operators to differentiate RCS services. Sarhangi noted that joyn is limited mainly to video and chat applications at this point, and it is not widely open to developers, though that is the ultimate goal.

"We are working with carriers to open that experience up, said Sarhangi. "Developers don't have to worry about doing deals with the carriers. They don't have to worry about integration with any carrier. All they have to worry about is using our SDK and our capabilities to work everywhere, globally, from day one, regardless of where joyn has launched," he said. "We do that through our cloud and the fact that we work directly with carriers."

Sarhangi predicted RCS will eventually replace SMS, at which point developers will be able to turn to Jibe to create and deliver messaging-based offerings rather than going to carriers or aggregators such as Urban Airship.

Jibe's emerging revenue model will be based on traditional licensing as well as software-as-a-service (SaaS) fees for operators that leverage the company's cloud services.

"From a developer perspective, today it's all free," said Sarhangi. "We really will only start charging developers once we see that they are successful. So once they are making money or passing a certain threshold for concurrent number of users on our platform, that's when they'll start paying us for usage of our cloud, just as they would Amazon [(NASDAQ:AMZN)] or someone else in the cloud space."

Operators that have launched joyn-branded services include Deutsche Telekom, Orange, Vodafone and MetroPCS (NYSE:PCS), which broke ranks with the Europeans by launching with the more-advanced RCS 5 technology rather than RCS-e.

For more:
- see this Jibe release
- see this telecoms.com article
- see this TechCrunch article

Read more about: RCS5, Jibe Mobile
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4. FirstNet may soon decide fate of suspended BTOP-funded networks

By Tammy Parker

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The First Responder Network Authority (FirstNet) got down to business at its second board meeting with a full agenda that included laying the groundwork for an impending decision on how jurisdictions that received federal grants can move forward with their public-safety LTE deployments as well as addressing the types of devices and applications that may be available for the Nationwide Public Safety Broadband Network (NPSBN).

Click to view a larger version of this chart.

A major topic on the agenda was the future of LTE rollouts by jurisdictions that were previously awarded Broadband Technology Opportunities Program (BTOP) grants but were told in May to rein in their deployments by the National Telecommunications and Information Administration (NTIA), an agency of the U.S. Commerce Department charged with overseeing FirstNet. NTIA put the brakes on $380 million in federal grant funding that had been earmarked to help local jurisdictions roll out public-safety LTE networks using 700 MHz spectrum leased from the Public Safety Spectrum Trust (PSST) because it feared the networks those jurisdictions were planning might not be compatible with the future NPSBN.

Board member Ed Reynolds provided an update on some of the grantees' deployment efforts. He said Adams County, Colo., has four sites that could begin operating within a month of receiving permission. Reynolds added that Mississippi has 134 sites for its planned LTE network that could support other tenants but cannot until approval is received from FirstNet, according to MissionCritical Communications. Reynolds indicated FirstNet could make a decision on the BTOP networks' fate in January.

"I think one of our issues over the next few months is to get these things resolved," Sam Ginn, FirstNet board chairman, told RCR Wireless.

Wellington Webb, FirstNet board member and former mayor of Denver, as well as Chuck Dowd, FirstNet board member and deputy chief of the New York City Police Department, each indicated that letting BTOP recipients move forward with their planned networks could be a crucial step in ensuring local cooperation on the nationwide network.

The Adams County network could be particularly helpful in testing and evaluating technical solutions given its proximity to the Public Safety Communications Research (PSCR) team in Boulder, Colo., noted Craig Farrill, FirstNet board member and acting general manager.

Peters Suh, CEO of the Wholesale Applications Community, made a presentation to the board describing what FirstNet can learn from the existing device and applications ecosystem.

Citing a device classification scheme and roadmap, Suh noted cited four main device types for the nationwide 700 MHz Band 14 public-safety LTE network: commercial, mainstream portable, mainstream in-vehicle and specialized/customized. In the commercial category, which includes off-the-shelf smartphones and tablets, there are currently no available devices with Band 14 support.

Suh noted that the Apple (NASDAQ:AAPL) ecosystem "highlights the need for a development environment, platform based solution, pervasive devices and real-time access to relevant information."

He said the next steps FirstNet should take include completing a local inventory of existing public-safety applications and detailed user requirements; developing an application platform architecture and roadmap, as well as user device specifications and roadmap; creating an application "store" distribution business model; completing a security architecture and roadmap; and developing support and operations processes.

For more:
- see this NTIA Web page
- see this MissionCritical Communications article
- see this RCR Wireless article

Read more about: PSST, Peters Suh
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5. Infonetics: Small cell backhaul equipment will reach $5B by 2016

By Sue Marek

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The market for outdoor small cell backhaul equipment will reach a cumulative of $5 billion worldwide from 2012 to 2016, according to a new report from Infonetics Research. This is in addition to the $44 billion that the research firm expects will be spent on macrocell backhaul equipment during the same time period.

The company also said that number of outdoor small cell backhaul connections will grow more than 100-fold from 2012 to 2016.

Richard Webb, co-author of the report said that he expects millimeter wave and non-line-of-sight, or NLOS, equipment to garner the largest portion of the small cell backhaul market by 2016. "Millimeter wave equipment has a high capacity (1 Gbps in a single channel) and very low latency, and nearly all of the operators we've interviewed are evaluating millimeter wave for small cell backhaul," Webb said.

Currently, wireless microwave equipment, including various types of microwave and millimeter wave, accounts for 89 percent of all outdoor small cell backhaul equipment revenue, while copper, fiber and DSL wireline accounts for just 11 percent.

Infonetics categorizes backhaul into several categories including three forms of wireline (copper, fiber, DSL) and the five forms of wireless (licensed and unlicensed millimeter wave and point-to-point, point-to-multi-point, and non-line-of-sight, or NLOS, microwave). This report tracks and forecasts outdoor small cell backhaul equipment revenue, units, connections (aka links) and small cell sites by medium (copper, fiber, air).

For more:
- see this release

Read more about: Infonetics, small cells
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Quick news from around the Web.

> IEEE seeks input on IEEE P802.16r for small cell backhaul. Article

> Virgin Media rolls out Wi-Fi at 20 more London Underground stations. Article

> NewCore Wireless selects Ericsson for LTE network. Release

> Richardson, Texas, deploys Alvarion 4.9 GHz broadband solution for Smart City Network. Release

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2012/12/13

| 12.13.12 | Apple still restricting iPhone 5 to 'approved' LTE networks

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