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To: Douglas V. Fant who wrote (451)	1/6/2000 7:50:00 PM
From: Douglas V. Fant	Read Replies (1) \| Respond to of 545

And just in case you thought that the wireless market was not expanding rapidly... Revenues in the Wireless Broadband Market Will Soar 418 Percent in Next Five Years, The Strategis Group Reports Wireless broadband revenues--driven by local telephone service and Internet usage--will grow at a 418 percent compound annual rate over the next five years, The Strategis Group said today. In the ?U.S. Wireless Broadband: LMDS, MMDS and Unlicensed Spectrum? report released today, The Strategis Group, the Washington, D.C.-based telecommunications research and consulting company, predicts that wireless broadband revenues will reach $3.4 billion in 2003, compared to 1999 revenues of $11.2 million. ?By 2003, we forecast that no less than 34 percent of U.S. households and 45 percent of U.S. businesses will be serviceable by broadband wireless networks,? John Zahurancik, vice president of broadband information of The Strategis Group, said. Wireless broadband technologies such as Local Multipoint Distribution Service (LMDS) ?present an inexpensive means to market entry? for local telephone service, the report notes. ?With U.S. local phone revenues topping $110 billion in 1999, the incentive to enter the market is clear; even a minuscule market share can generate tremendous revenues.? The Strategis Group said that demand for ?broadband connectivity in the local loop is a relatively new phenomenon. For years, narrowband solutions--phone lines--have managed to serve the average user?s needs in an economical and robust manner. Demand for new services, however, has conspired to destroy this model and caused the need for bandwidth to skyrocket.? Internet usage, for example, has grown dramatically over the past five years. ?Once a medium of the technologically savvy, the Internet has become a critical business tool and a ?daily essential? for many home users,? the report says. ?As Internet content becomes more interactive and multimedia-oriented, the need for high-speed access rises in turn.? The report notes that in 1997, ?less than five vendors had the ability to produce an operating LMDS system, and few had been tested extensively. Today, any number of vendors--including major integrators such as Lucent, Nortel and Cisco--can provide a working system. Capable of voice, data, Internet and video services, these systems can meet any customer?s local access needs.? The Strategis Group, an edr company (e-date resources)--with offices in Washington, D.C., London and Singapore--publishes in-depth market research reports, provides customized consulting services, and supplies continuous information solutions to the Internet, cable TV, satellite, competitive telephony, broadband and wireless communications industries