THE FUTURE OF FREQUENCIES

In its recent annual market review of the telecom industry, the Telecommunications Industry Association broke down wireless into its component parts, detailing how each spectrum technology would perform in coming years. While cellular is expected to remain the country's most populated wireless band, PCS will bridge the gap quickly by 2005. And while cellular is projected to keep the larger subscriber base, PCS will become just as big a money generator. According to the TIA, by 2005 PCS spending will be almost even with cellular, and PCS handset sales will more than double cellular handset sales.

U.S. wireless subscribers (in millions)

Figure 1

U.S. wireless spending (in billions)
U.S. wireless services spending (in billions)
U.S. wireless handset spending (in billions)

Figure 2

The wireless ways of the South

What's the hottest spot for wireless these days? According to a new report by Scarborough Research, it's not New York or Los Angeles. It's Houston, that sprawling mecca of the energy industry. Atlanta is a close second. In fact, numerous markets south of the Mason-Dixon line made the cut for most penetrated markets in 2001. New York and Los Angeles don't even appear on the list, falling at numbers 26 and 24, respectively.

Wireless penetration by market

Figure 3