Tuesday, July 23, 2013

LTE is Going to be a Fixed Network Alternative

You always can get an argument about whether broadband Internet access provided by Long Term Evolution networks is a reasonable substitute for fixed network high speed access. But it already seems clear that the substitution of LTE for fixed network fiber access is going to become a reality for quite a substantial number of potential customers.

AT&T's Project Velocity will extend IP-based wireline broadband service to approximately 57 million customer locations (both consumer and small business) representing 75 percent of the customer locations within the company’s 22-state service area by year-end 2015.

In the remaining 25 percent of customer locations where it will not be economically feasible to upgrade the wireline network to faster broadband speeds, the company will offer a 4G Long Term Evolution solution instead.

That is one way of saying that up to 25 percent of households located within AT&T's fixed network footprint ultimately will only be able to buy LTE for higher-speed access, and will not have access to a hybrid fiber-copper network.

As always, different network solutions make sense in higher-density areas, such as cities and suburbs, compared to what is feasible in rural areas. One size never fits all. That mixed network approach virtually assures that LTE will be used as a substitute for fixed network high speed access.

The debate is over, for practical purposes. In at least some cases, LTE will be a functional substitute for fixed network access.

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