Ericsson and Nokia Looking to 450 MHz Band

[Barry]

Ericsson and Nokia announced plans to offer GSM products for the 450 MHz band. The move-albeit somewhat delayed-is an attempt to provide a GSM alternative to CDMA offerings in the 450 MHz range.

Several carriers in European and Asian markets have deployed CDMA 450 MHz networks. Both Ericsson and Nokia pointed out that GSM 450 MHz technology could work alongside standard GSM offerings in higher bands, and carriers also could upgrade the 450 MHz system to GPRS and EDGE technologies.

A number of countries are researching or deploying CDMA 450 MHz systems, including emerging markets like Russia and elsewhere. Due to the nature of radio waves, 450 MHz systems are less expensive to deploy than networks in higher bands-such as 800 MHz and 1900 MHz-simply because carriers need fewer towers to cover the same area.

As the modern world embraces wireless technology, handset and infrastructure vendors are looking at ways of tapping into the emerging market potential. Such markets require extremely low-cost products.

Ericsson and Nokia likely are pushing GSM 450 MHz as a way to compete against companies that are supplying CDMA 450 MHz products. The move again highlights the prolonged battle between GSM and CDMA proponents.

Although Ericsson and Nokia both voiced their support for GSM 450 MHz products, neither company committed itself to the market. Ericsson said it would offer GSM 450 infrastructure next year "depending on market demand," and Nokia said it would "potentially" offer GSM 450 handsets.

The GSM community has long discussed the possibility of 450 MHz products. Indeed, a 1999 article on the Global Mobile Suppliers Association Web site predicted GSM 450 MHz products would be available by 2001.

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