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Technology Stocks : The *NEW* Frank Coluccio Technology Forum -- Ignore unavailable to you. Want to Upgrade?

To: Frank A. Coluccio who wrote (4390)	11/24/2001 6:15:12 PM
From: elmatador	Respond to of 46821

Lets split this into sharing the infrastructure and sharing the functionality. I look to this under a progressive, step-by-step development: The operators -post auction and its huge price- sweeten the deal for the bankers saying that there won't be so large capital expenditures. To prove it they started asking for the regulators to allow network sharing. Network sharing -they mean- is to share only sites and its ancillary infrastructure. Not functionality. Lets take a city with three mobile operators. Each of them with its own sites and infrastructure. To implement 3G, they need to fill in the gaps, i.e., pack more compactly their network. (Higher frequency=short reach). Since all those sites are spread randomly across the city, one operator can use the site of the other two to fill in his gaps, and make its own available for other two to fill their gaps. Thus they spend less money and time to implement 3G. The MNVO case is a content provider lease capacity in one of those three networks to make their services available for the customers. Here they are sharing the functionality of the network. He would set up its own servers and would hooked them to the operators' gateways and he would be in business. The operator would be acting in a byte-carrier capacity. But there is not where the money will be will it? Now that I wrote that let see what the author is saying.

To: Frank A. Coluccio who wrote (4390)	11/24/2001 6:21:33 PM
From: elmatador	Respond to of 46821

After reading the article the scenario the author uses is the following: The country has three network operators. The government sold four licenses. One of them will build greenfield. No network sharing with this newcomer. He has nothing to share! Besides he will start selling telephony services and the three existing operators have no reason to help this newcomer who is going to poach the customers of the three existing ones. Remember, please, what I wrote before: The existing operators spend all that money for the license because they were forced to do so. Not doing it would mean licenses of this new spectrum going to a newcomer that would stared competing for the customers of the existing operators. I am amazed why people didn't get that (or at least do not say it publicly.