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::INTERNET & TELECOMS

Sky-net signs wireless technology deal
Tuesday, July 02 2002
by Donagh Brennan

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Sky-net said it has signed a deal with the US company Proxim to use its building-to-building wireless technology to compete with leased line broadband services.

Sky-net says the service will provide high speed, "always-on" Internet access, with 20Mbps to 60Mbps bandwidth for the Sandyford area initially and plans to expand later on.

With concern that an affordable broadband landline service in Ireland remains mostly unrealised, companies such as Sky-net are entering the broadband market with alternatives to the leased line model.

Initially Sky-net plans to offer the wireless service within a 3km radius of the Sandyford area of Dublin, from 1 August. But according to Jill Forde, speaking for Sky-net, there are plans to extend the service to the Dublin 2 area in the future with an option to expand this to four more locations. LEAP Broadband is currently rolling out its wireless service in the Dublin 2 area.

Sky-net's priority is to use Proxim technology to provide a cheaper and faster way to implement broadband service than is currently available.

"It's high time the Irish market was presented with a realistic and cost effective alternative to leased lines, as these are still an expensive and time consuming access method for all businesses," said Joint Managing Director of Sky-net, Lee O'Carroll, in a statement.

According to Anthony Fulgoni, UK and Nordic Sales Manager for Proxim, the system can provide broadband access between buildings in an industrial estate, for example, without having to dig up roads or lay down lines. A company can also take the technology with them if they move, he added.

The system works by installing small antennas to subscribers' buildings, which would then connect with the base station antenna. The base station would act as a hub Internet service provider, connecting other subscribers on the network within a 5km area.

The advantage of such fixed wireless technology is that it bypasses the need for local exchanges to be updated for the competing ADSL technology, which has slowed down the widespread implementation of landline broadband. Sky-net also maintains that its service will cost 40 percent less than current leased line charges, but it has not yet said what its pricing structure will be.

Furthermore, wireless technology, despite its flexibility and apparent low cost, still has to prove itself as a stable alternative to the inflexible but proven service of leased lines.

In addition to competing on price, Sky-net is hoping to distinguish its service by offering customers a service level agreement and promises to have the system implemented within five days.

Please note the correction to this story -- Sky-net maintains that its service will cost 40 percent less than current leased line charges, not 40 percent less than DSL as originally reported.

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