Worldwide mobile Wimax infrastructure revenues reportedly quadrupled during the third quarter of 2008.

"With LTE still a couple of years away, Wimax has, in fact, become the first next-generation technology with commercial service," explained Scott Siegler, a senior analyst at Dell'Oro Group. "Mobile Wimax revenues were very strong in the third quarter of last year, and we anticipate revenue for the fourth quarter to set another record. However, as we look into 2009, we expect the Wimax market to be hit rather hard by the economic downturn. Building out brand new networks from scratch requires tens, if not hundreds, of millions of dollars of capital," said Siegler.

The analyst added that the increasing cost of capital, coupled with a decrease in demand for broadband data, could lead to the delay of network buildouts. In addition, the halt in infrastructure expansion will almost certainly shorten the time market advantage Wimax currently maintains over LTE.

It should be noted that the number of Indian Wimax initiatives has increased exponentially in recent years.

"The Wimax ecosystem, as well as excitement for the technology, has grown significantly over the past five years," explained CS Rao, chairman of the Wimax Forum India Office. "Wimax is viewed as the best wireless broadband technology for India – with a diverse and complete ecosystem ready to deliver affordable, lightning-fast wireless internet."

The Wimax forum projects that there will be more than 27.5 million broadband internet users in India by 2012. However, the number of users could expand faster than anticipated following the auction of 2.3 and 2.5GHz frequency bands.

As IT Examiner previously reported, Intel recently announced plans to collaborate with Indian manufacturers and providers to promote the distribution of Wimax-ready devices by mid-2009. Indian companies will be assisted by the Open Patent Alliance and additional entities to determine device requirements, timelines, testing and interoperability plans.

"This is a very exciting time for India and Wimax," said Sriram Viswanathan, Intel VP and general manager of the Wimax Program Office. "Wimax has the ability to help bridge the digital divide with the most cost-effective and highest-performing wireless broadband technology available today. The availability of low cost devices for end users forms an essential part of the promise and capability of Wimax."

Viswanathan also explained that the company's efforts were congruent with its focus of connecting Indians to the Internet and allowing individuals to leverage the "unlimited potential" of fast connectivity.

Intel has invested in a number of wireless projects around the world. For example, the corporation sank $1 billion into Sprint's Wimax arm Xohm (US) in return for a minority stake of the company. The firm also transferred  $11.5 million to Taiwanese carrier Vmax Telecom.

"As the internet evolves, the industry has an opportunity to deliver what consumers are seeking - a fast, seamless and personal mobile internet experience, regardless of device or location," said Intel CEO Paul Otellini. "Intel Capital's investment in Vmax positions it to deliver Taiwan's first 4G wireless network."

Yiin Chi-Ming, of the Taiwan Ministry of Economic Affairs, concurred. "With a shared vision to accelerate mobility industry momentum, our collaboration with Intel positions Taiwan to further capitalise on opportunities created by the next phase of the internet," he said.  X

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