ECTC Panel Discussion
Wireless Technology:
Is It a Disruptive One?
Ephraim Suhir chaired
a thought provoking session late Tuesday night (May 29th) as part
of the ECTC experience. He set the tone for the discussion by
pointing out the by "disruptive" he means the it is
something that will change how you think about the markets you
serve. Because of this perspective it is often the Marketing
groups of companies that force a technology to be disruptive rather
than the clever technologists.
As engineers, we often guess wrong as to which technology becomes
disruptive. We like to believe that it is our genius to transcend
the small incremental steps and go for the big leap forward that
insures the disruption of the marketplace. With this view, we
find that the growing wireless presence (400 million hand held
wireless units sold over the last year) is beginning to intimidate
many establish ways of communication. If the customer find or
by marketing blitz believe they find that wireless provides cheaper,
simpler, smaller, and more convient to use. Ephraim Suhir pointed
out that many technologies that eventually replace established
technologies started out underperforming in some ways but seeming
better in some aspects to the users. For example the first small
transistor radios were technically as good as tube receivers but
they were small and did not need to be plugged in. In analogy,
many people are dropping their twisted wire phone service at home
and using cell phones for all their communication.
Despite defining the terms very well, Dr. Suhir never answered
the question as to whether the Wireless Technology was on a disruptive
path.
The first presenter was Lou
Manzione from Bell Laboratories. He reinforced Suhir's statements
agreeing that the disruption is often market driven not technological.
He pointed to the fast rate of movement in wireless application
developments that could put the marketplace on the verge of major
changes. the number of data and voice wireless subscribers is
growing rapidly.
He sees this trend only increasing as the handsets get smaller,
go digital, add many digital browsing (see Japan), and unified
messaging. Another example is the recent explosive growth of
wireless LANs. The one advantage of low cost of quick installation
has disrupted the market for small offices, schools, retail (Starbucks),
and corporate offices. The $100 per connection ($60 PC card +
$30 for server). This can be used for Tags on retail items and
for Wide area Network (WAN) over 5 miles.
He reviewed the routes of growth:
1. 802.11 at 5.6 and 2.4 GHz bands has been used at 11 Mb/s in
the 50 - 500 meter range. The security issues have been addressed
with 64 and 128 bit keys using RC4 encryption. This technology
is used mostly for data.
2. Bluetooth can include voice is at 2.45GHz with 10 meter range.
Could define a path of lap top to cell phone to LAN. Bluetooth
should be less than $10 unit but built on sophisticated LTCC.
So LANs will start having a big impact. Third generation will
be at 2 Mbps and fourth at 100 Mbps. The wireless cells will probably
shrink from Macro ( 5 - 30 km) to Micro (1 - 5 km) to Pico (0.2
- 2 km). With Pico cells there would be no acquisition costs for
repeater sites since they will be so small. However will need
high efficiency power amps, thermal management, smart integrated
antennas. Need high reliability at low cost (even in lightning
storms), advanced packaging with light weight. If the beam could
be steered with a smart antenna system then frequencies could
be reused even with cell.
The radio on a chip will allow perhaps 4 different frequencies
to used by each wireless unit to increase reliability of service.
Lou Manzione sees the lap top + palm + cell phone = new terminal
that could be sold at a higher price point because it has more
functions. On the component level he mentioned inductors with
MEMs and proliferation of SAWs and embedded passives in the design.
The next presenter was
Dr. Seppo Pienimaa of Nokia. He interprets wireless as a
more natural approach. that virtual presence is more natural than
standing at the end of twisted wire pairs. He pointed out that
only 20% of the people in the world have wired phones.
He pointed out that current terminals are 80 cc broken down as:
60% mechanics and interface, 25% batteries, and 15% electronics.
However the trend is to go to color which will mean a larger display
which will demand the rest of unit must be made thinner. Miniaturization
is the enabler. The trends are to extend the options, enhance
security, and enhance efficiency. Wireless is replacing fixed
wire as well as expanding service to those that don't have wired
service. Encryption implementation will be easier to add onto
wireless than to existing hard wired LANs.
The stock prices of companies depending on wired phone and
LAN communication at least momentarily indicate the disruption
caused by wireless has begun. However, the lack of profits for
the wireless companies may make it a hollow victory for disruption.