Cellular operators are still feeling cautious about jumping into the next wave of higher speed data networks: At least that's the impression one reporter at the recent Cellular Telecommunications and Internet Association conference walked away with. He's right that Verizon seems to be talking the loudest about its future data plans, but he neglects to mention AT&T Wireless, which said it is on track to roll out four cities with a higher speed network this year.
But some of the more interesting comments in this piece come from Nextel's chief technology officer, Barry West. He said Nextel isn't committed to rolling out a network using Flarion's gear, the equipment being used in Nextel's Raleigh, N.C., trial. He also said that Raleigh is more than a technical trial, but doesn't seem to then explain what exactly it is. A nationwide rollout of such a network could cost Nextel about $2 billion, which is twice what Verizon and Spring say their high speed data networks will cost.
He also made a comment about pricing which I haven't heard many cellular execs make. He notes that $80, which is the price Verizon suggests it will charge per month for access to it's higher speed network, is too much. Nextel is still looking for a technology that will allow it to offer lower prices for access but he said he hasn't found it yet. That's interesting because it's been widely reported that Nextel has taken a close look at WiMax. WiMax supporters hope that their alliance means that the cost of products will be low so that operators can offer similar prices for access as the DSL and cable modem providers. Nextel may not be convinced that's true. Or maybe Nextel just wishes that it had an option it could turn to before WiMax gear hits the market.