WinStar to roll out wireless multipoint: Siemens, Broadband Networks chosen as vendors

WinStar Communications will deploy point-to-multipoint wireless local networks over its 38 GHz frequency early next year using equipment from Siemens Telecom Networks and Broadband Networks.

The move to multipoint technology is part of WinStar's long-term plans.

WinStar will begin overlaying multipoint equipment early next year in cities where it now has point-to-point networks. In new markets, the company will go directly to multipoint. Over time, WinStar will phase out the point-to-point equipment and will use it only with high-demand data customers.

"Long term, that's inevitable," said David Ackerman, WinStar's executive vice president. "The question is, how long is long term?"

The move also will reduce WinStar's cost structure significantly. Ackerman anticipates a cost reduction of at least 50% in installation alone. "At the remote [customer] sites, the radios become a lot cheaper because there's so many more of them, so we'll get volume."

That cost reduction also should give the company a more competitive product when battling incumbent telcos for data customers.

The timing of WinStar's announcement also may give the company an advantage in the upcoming local multipoint distribution service auction over bidders that want to target business data applications, said Peter Bernstein, president of Infonautics Consulting.

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