Airvana Launches 3G All-IP Radio Access Network

date: October 22, 2001

Airvana, an infrastructure provider of 3G wireless networks, today launched a line of radio access networking equipment that enables wireless service providers to offer mobile and fixed data services at unprecedented speeds.

Airvana's 3G equipment uses CDMA2000 1xEV-DO wireless technology, which was recently recognized under the 3G IMT-2000 standard by the ITU. CDMA2000 1xEV is based on High Data Rate (HDR) wireless technology that was developed by Qualcomm.

CDMA2000 1xEV-DO is an "always on" technology that enables data to be sent over PCS and cellular wireless networks at speeds comparable to DSL or cable modems, and at a cheaper cost per byte than any other 3G technology in development today.

Data rates can reach up to 2.4 Mbps under ideal circumstances, with average sustained rates expected to be around 300 to 600 kbps -- similar to cable modems and DSL. Today's cellular systems typically provide mobile data rates in the range of 14.4 kbps.

"The broadband speed of CDMA2000 1xEV-DO, combined with our innovative all-IP architecture unleashes the economics of wireless data," said Randy Battat, president and CEO of Airvana. "Airvana's CDMA2000 1xEV-DO network is fast enough to offer full access to the Internet and supports not only web- based smart-phones, but also PDA, and laptop PCs. Our all-IP architecture means more rapid deployment, lower operational costs, and new services and revenue streams for wireless service providers - which are extremely difficult to achieve with conventional, voice-centric network designs."

"The fundamental driving force behind Airvana is the idea that the IP will transform wireless networks as much as it has impacted the wired world. Today, Airvana is launching what we expect to be the first of a new generation of wireless data networks", continued Battat.

Industry analysts anticipate that the high speeds offered by CDMA2000 1xEV-DO will greatly enhance the wireless user experience for not only business users in areas such as mobile Virtual Private Network (VPN) to corporate IP networks, but also for consumers, who will enjoy broadband Internet access, email, instant messaging, audio and video streaming, multi- user gaming, music downloads, digital imaging and location-based services.

"Since CDMA2000 1xEV-DO enables a new set of multimedia capabilities and applications, we can expect a new type of user for these services," said Iain Gillott, principal and founder of iGillottResearch. "As well as the usual early adopters, multimedia-centric consumers and business users will also find CDMA2000 1xEV-DO services appealing."

In a recent report, Gartner Dataquest estimates that the North American mobile data market will grow from 7.3 million subscribers in 2000 to 137.5 million subscribers in 2005. If viewed globally, the numbers are even more staggering, with Jupiter Communications estimating that global mobile Internet subscribers will reach 600 million by 2005.

Unlike some other 3G technologies, CDMA2000 1xEV-DO does not require most carriers to buy new spectrum. It can serve as a standalone data-only network or be overlaid onto existing cellular and PCS voice networks. Airvana has designed its infrastructure to enable operators to run these networks entirely over IP, creating dramatic cost savings in backhaul charges and network operating expenses.

"The implementation of CDMA2000 1xEV-DO in North America will shatter the impression that Europe is 'ahead' in terms of wireless and mobile capabilities," said Gillott. "Since CDMA2000 1xEV-DO does not require additional spectrum, incumbent operators do not have to pay billions for new licenses."

"While Japanese and European GSM operators suffer from well publicized problems in deploying 3G, CDMA operators in the US, Korea, and elsewhere are deploying 3G right now," said Andrew Seybold, Editor-in-Chief of Forbes/Andrew Seybold's Wireless Outlook. "Airvana's All-IP network marries the best Internet technologies of the wired world with CDMA2000 1xEV-DO, the most potent and practical wireless data standard around."

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