[opendtv] AT&T reverses 'straight-to-LTE' strategy

  • From: "Manfredi, Albert E" <albert.e.manfredi@xxxxxxxxxx>
  • To: "opendtv@xxxxxxxxxxxxx" <opendtv@xxxxxxxxxxxxx>
  • Date: Tue, 18 May 2010 09:37:45 -0500

I was wondering how long it would take for common sense to prevail over 
marketing hype.

"By stopping at 14.4Mbps iteration [of HSPA+] (the figures refer to peak 
download speeds), AT&T does avoid the additional cost and complexity of 
supporting MIMO antenna arrays, which are necessary for the 21Mbps and higher 
versions."

Guess what? The same is true for LTE.

Bert

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http://www.rethink-wireless.com/2010/05/18/att-reverses-straight-to-lte-strategy.htm

AT&T reverses 'straight-to-LTE' strategy
Firm will now support 14Mbps HSPA+ across large portion of footprint this year
By CAROLINE GABRIEL

Published: 18 May, 2010

As Verizon released videos as the first step in its marketing run-up to LTE 
services, AT&T did a U-turn on its own next generation strategy, and now plans 
to implement HSPA+. Previously, the telco had planned to upgrade its nationwide 
W-CDMA footprint to the 7.2Mbps version of HSPA, and then skip straight to LTE 
for mobile broadband from 2011. Now it will deploy 14.4Mbps HSPA+ too.

The change of heart is welcome. AT&T's strategy had seemed highly illogical. In 
the wake of the huge strain on its network from mobile data services, only 
moving to 7Mbps HSPA - which most European carriers are already leaving behind 
in favor of 28Mbps or even 42Mbps implementations - seemed inadequate. Having a 
relatively slow network would also put huge pressure on AT&T to build out LTE 
very quickly, in any areas where it saw high levels of mobile broadband usage. 
Although the LTE build it still scheduled to start in 2011, a faster national 
back-up network would allow AT&T to be more flexible in how intensive it wants 
its 4G capex hit to be. By stopping at 14.4Mbps iteration (the figures refer to 
peak download speeds), AT&T does avoid the additional cost and complexity of 
supporting MIMO antenna arrays, which are necessary for the 21Mbps and higher 
versions.

John Stankey, CEO of AT&T Operations, outlined the new plan in interviews with 
the GigaOm and Engadget blogs. He said it would cost AT&T less than $10m to 
upgrade to HSPA+, with coverage of 250m pops, by the end of this year.

In adopting a middle stage between HSPA and LTE, AT&T is not only speeding up 
its networks in the interim period before it has widespread 4G, but keeping 
pace with T-Mobile, which has an aggressive strategy to move to HSPA+. By 
contrast, Verizon Wireless denied recent reports that it would also have a 
mid-speed strategy, deploying EV-DO Rev B to upgrade its current network and 
fill in short term or permanent gaps in LTE coverage. Rev B can achieve peaks 
around 14Mbps. Sprint was also said to be looking at Rev B to enhance its 3G 
network outside the areas where it provides 4G services via its Clearwire WiMAX 
venture, though it has not commented on these reports.

Another reason for AT&T to invest in HSPA+ is that it will have a better device 
ecosystem than LTE for many years to come, especially on the handset side. 
Stankey has always said LTE would not be ready for the mainstream until 2014, 
largely because the early handsets would be unappealing, as the 3G ones were. 
He told GigaOm: "The vendors are experiencing some challenges on certain 
features and software, and first implementations in 2011 will be...pretty 
vanilla." It will take several years, he thinks, fully to address issues such 
as effective 3G/LTE roaming, battery life and voice. Although HSPA+ requires 
new devices too, these are less of a step away from current phones, even though 
early HSPA+ services round the world have mainly been based on data cards and 
dongles.
 
 
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