Thursday WiMAX News

Nortel Unveils Fixed, Mobile WiMAX Strategy, New Strategic Relationships; Technology Designed to Deliver Lightning Fast Wireless Broadband Access 'Anytime Anywhere'

TORONTO--(Sep 15, 2005)

Nortel today announced plans to offer fixed and mobile WiMAX products based on the latest industry standards, and to work with WiMAX leaders Intel and Airspan Networks in bringing these products to market.

These efforts are expected to complement work already underway with the LG-Nortel joint venture.

Nortel's WiMAX products will be designed to allow wireless and wireline carriers, cable providers, media companies and other ISPs to deliver broadband connectivity to consumer and enterprise users by leveraging existing networks and 'last mile' wireless links. They will also complement and extend the reach of existing 3G cellular networks.

WiMAX is a long-range wireless broadband access system that can deliver large amounts of bandwidth very economically. It will give businesses and consumers uninterrupted access to a rich variety of high bandwidth applications like networked gaming, streamed digital music, TV, videoconferencing, and other real-time services.

Fixed WiMAX (IEEE 802.16-2004) is anticipated to operate in the 3.5GHz and 5.8GHz bands of spectrum and to deliver end-user data rates greater than 1 Mbps, comparable to many North American cable broadband and DSL connections. Mobile WiMAX (IEEE 802.16e) will initially operate in the 2.5GHz band and provide even higher speeds and the added convenience of 'anytime, anywhere' access.

"We will be a technology leader in WiMAX, just as we have been with UMTS/HSDPA, CDMA, VoIP and wireless mesh," said Mark Whitton, vice president and general manager, WiMAX and Wireless Mesh Networks, Nortel. "Nortel is an expert in all the foundation technologies for both wireless and broadband, something we believe no other company can match."

"Nortel's WiMAX solutions will be based on our years of experience building practical, profitable, leading-edge networks," Whitton said. "We're taking the best of what we've learned from our successful cellular, Internet, and voice businesses and combining it to create industry-advancing solutions designed to meet the growing demand for wireless broadband."

"There is no denying the attraction of having automated broadband connectivity whenever and wherever you power up your laptop," said Phil Marshall, vice president, Wireless Mobile Technologies, Yankee Group. "Promising new technologies often fail, however, for lack of a viable business model or a weak value chain. Support of major networking companies like Nortel is a strong and positive sign that WiMAX intends to compete vigorously for its place in the industry."

Nortel is collaborating with Intel to promote deployment of wireless broadband based on WiMAX.

"As WiMAX-Certified products enter the market, cities and regions around the globe are planning for and deploying WiMAX networks," said Scott Richardson, general manager of Intel's Broadband Wireless Division. "We are very pleased to be working with market innovators like Nortel to develop and deploy end-to-end mobile broadband solutions for both businesses and individuals around the world."

Nortel will work with Airspan Networks to market and evolve WiMAX solutions in the higher frequency bands for implementations that do not require full mobility. These solutions will also be used to eliminate the need for expensive wired T1/E1 or DSL circuits for wireless backhaul, creating a simpler path to profitability for service providers.

"We are combining Nortel's wireless and mesh technology leadership and ability to execute large network build-outs with Airspan's market-proven WiMAX portfolio to provide high-speed access for people living in areas where access via cable or DSL may not be available," Whitton said. "Beyond that, Nortel will build on its key intellectual property and standards contributions in OFDM, MIMO, and wireless mesh networking to deliver mobile WiMAX products in time for trials in mid 2006. The key to an operator's success in WiMAX will be the real-world implementation of networks, an area where Nortel has vast experience and the resources to back it up."

"Interest in our WiMAX portfolio is at a high level and continues to grow," said Eric Stonestrom, president and chief executive officer, Airspan Networks. "We are very pleased that Nortel, a recognized leader in wireline and wireless technologies, has chosen to add our WiMAX solutions to its product line. Nortel is already a leading supplier of switching and mobility products to many of the world's largest carriers, and together we can bring truly innovative access solutions to service providers across the globe."

Nortel's optical backhaul technology, data networking solutions, and full suite of wireless services will be integrated with Airspan's WiMAX base transceiver stations (BTS) and subscriber terminals (ST).

Nortel will work in the development of WiMAX/WiBro solutions based on the 802.16e standard though the LG-Nortel joint venture. Nortel's fixed WiMAX solutions are expected to be commercially available in Q1 2006. Nortel's WiBro solutions are scheduled for commercial availability following the 2005 field trial deployment in Asia with the LG-Nortel joint venture, with additional mobile WiMAX solutions set to be commercially available following the 2006 trials in North America.

Nortel has contributed to the 802.16 standard by helping to develop underlying technologies like OFDM and MIMO for more than six years, and holds several key patents in these areas. In March 2004, Nortel completed a MIMO/OFDM lab demonstration of large data transfers with peak data rates at 37 Mbps over a standard 5MHz PCS band under conditions found on real-world cellular networks. Nortel is a member of the WiMAX Forum, an industry-led organization that promotes interoperability and certification of broadband wireless products for delivery of faster, more affordable data, voice and video services to businesses and consumers.
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Incumbent Bezeq Pilots WiMAX Services in Israel Using Alvarion's BreezeMAX; Broadband Services Being Provided to Underserved Community in Negev Desert

TEL AVIV, Israel--(BUSINESS WIRE)--Sept. 15, 2005--Alvarion Ltd. (NASDAQ:ALVR), the world's leading provider of wireless broadband solutions and specialized mobile networks, today announced that Bezeq, the Israel Telecommunication Corporation incumbent, has purchased and deployed a pilot using its WiMAX-ready equipment, BreezeMAX 3500, to provide broadband in the southern Israeli city of Rahat, an underserved community located in the Negev desert. The first WiMAX system in Israel, operating in the 3.5 GHz range, is initially serving public institutions, such as schools and medical facilities where the need for broadband is greatest, and it will have the most impact on people's daily lives. Bezeq is now developing plans to extend the network to other communities in southern Israel.

This WiMAX pilot builds on an already strong relationship between the two companies. Over the years, Alvarion has supplied Bezeq with wireless systems to deploy thousands of wireless connections for voice and data services throughout Israel.

"We are pleased to supply Bezeq with our industry leading BreezeMAX system to bring broadband services to the underserved areas of Israel," said Zvi Slonimsky, CEO of Alvarion. "We are encouraged by the fact that spectrum was expressly allocated for this purpose and are optimistic about additional uses and more spectrum in 3.5 GHz."

BreezeMAX is Alvarion's WiMAX-ready platform that uses OFDM technology for advanced non-line-of-sight (NLOS) functionality to enable operators to offer broadband IP-based data and voice services over a large service area. Its carrier-class design supports broadband speeds and quality of service (QoS) to enable carriers to offer multiple services to thousands of subscribers from a single base station. BreezeMAX networks are already installed with over 100 operators in more than 30 countries.