Lowering Costs and Power Consumption Focus Areas of Chipmakers
Chipmakers participating in the 2008 WiMAX Expo included Fujitsu, GCT, Intel, NextWave Wireless and Sequans. GCT and NextWave Wireless displayed their WiMAX chip products for the first time in Taiwan. Products on display featured high levels of integration, and integration is a key focus area of chipmakers. For example, the Sequans SQN1170 integrated BB, RF, and SD RAM ICs through MCM (Multi Chip Module). CGT's GDM 7205 integrated WiMAX BB and RF using a monolithic die method. Looking at chip development, usually when a previous chip generation has become mature and reached considerable market scale, clients are lured to buy a new generation of chips as makers look for ways to lower costs and power consumption, only after which chips are integrated. While WiMAX chips have not yet reached a considerable scale, chipmakers are moving towards integration. Compared to the development of Wi-Fi chips in this regard, WiMAX chips are two years ahead. This shows that the demand for lower costs and lower power consumption is even more pressing than in the past. The rollouts of integrated chips are expected to accelerate in the future.
Open CPE Concept Finds Acceptance among International Telecom Equipment Vendors
As for international telecom equipment vendors, Alvarion, Alcatel-Lucent, Motorola, Nortel, NSN (Nokia Siemens Network) all came to Taiwan to participate in the 2008 WiMAX Expo. Besides NSN, which only displayed its own base station and CPE products, other vendors showed complete solutions featuring their own base stations and Taiwanese makers' CPE products. Alcatel-Lucent displayed the richest variety of Taiwanese products, which included products of ZyXel, QMI, Gemtek, AWB and Asus. Nortel showcased products of ZyXel and QMI. Due to cost and division of labor considerations, the open CPE concept will gain traction in the future following the establishment of contract production relations between international equipment vendors and Taiwanese makers in 2007. If IOT issues will be further resolved, the open CPE concept will result in even larger market opportunities for Taiwanese makers.
Mobile Devices Becoming More Varied
Regarding WiMAX terminal devices launched at the 2008 WiMAX Expo in Taipei, it was obvious that products are becoming more varied, that multiple-mode models are developing and that they feature more functions.
As for product diversity, WiMAX terminal devices are no longer constricted to USB dongles and notebook PCs. During this exhibition, products such as MIDs and UMPCs, car devices, and WiMAX desktop phones were showcased. The trend which sees WiMAX modules integrated into a wider variety of products will be of great importance in the initial stages of worldwide WiMAX development.
As for multiple-mode products, in order to solve insufficient coverage of WiMAX networks in early development, many devices have designed space for cellular (GSM/WCDMA/HSDPA) modules. This opens the possibility of WiMAX/cellular dual-mode devices if the marketplace and telecom operators show demand for these types of devices. Also, in order to expand the range of usages for WiMAX terminal devices, GPS and mobile TV have become indispensable functions. Multiple-mode products are therefore an important trend in the future development of WiMAX devices.
As for multiple functions, this has been influenced by the product variety and multiple-mode design development trends. Functions of WiMAX terminal devices are not limited to wireless broadband internet access. By adding GPS, Bluetooth and TV chips, functions such as video telephony, navigation, music/video playback and TV broadcasting can be created. The trend is therefore towards multiple applications on a single device.
Meanwhile, WiMAX Wave 2 has become the mainstream WiMAX specification, and many makers are development Wave 2 products.
Developing Niche Mobile Broadband Applications Key for Future WiMAX Development
As Taiwan's WiMAX operators are expected to start official services towards the end of 2008, operators are eagerly preparing application services. Looking at the application services on display during this exhibition, besides wireless broadband internet access, the majority were mainly multimedia services. HD TV in particular has become an area in which all operators are investing. LBS, mobile wallet, surveillance, remote healthcare and remote education are also focus areas.
The difference with application services showcased during the 2007 WiMAX Forum Taipei Showcase and Conference is that application services are no longer confined to fixed or one-way services. Mobile or two-way services are increasing, and were a characteristic aspect of the application services on display at the 2008 WiMAX Expo. Compared to the cellular camp, WiMAX still lacks unique killer applications. The key to future development of the overall WiMAX industry is to use WiMAX broadband and high mobility to develop niche mobile broadband applications.