The bandwidth and reach of WiMAX make it suitable for the following potential applications:
- Connecting Wi-Fi hotspots with each other and to other parts of the Internet.
- Providing a wireless alternative to cable and DSL for last mile (last km) broadband access.
- Providing high-speed data and telecommunications services.
- Providing a diverse source of Internet connectivity as part of a business continuity plan. That is, if a business has a fixed and a wireless internet connection, especially from unrelated providers, they are unlikely to be affected by the same service outage.
- Providing nomadic connectivity.
Broadband Access
Many companies are closely examining WiMAX for "last mile" connectivity at high data rates. This could result in lower pricing for both home and business customers as competition lowers prices.
In areas without pre-existing physical cable or telephone networks, WiMAX may be a viable alternative for broadband access that has been economically unavailable. Prior to WiMAX, many operators have been using proprietary fixed wireless technologies for broadband services.
WiMAX access was used to assist with communications in Aceh, Indonesia, after the tsunami in December 2004. All communication infrastructures in the area were destroyed making the survivors unable to communicate with people outside the disaster area and vice versa. WiMAX provided broadband access that helped regenerate communication to and from Aceh so that condition post-tsunami can be retrieved.
Subscriber Units
WiMAX subscriber units are available in both indoor and outdoor versions from several manufacturers. Self-install indoor units are convenient, but radio losses mean that the subscriber must be significantly closer to the WiMAX base station than with professionally installed external units. As such, indoor installed units require a much higher infrastructure investment as well as operational cost (site lease, backhaul, maintenance) due to the high number of base stations required to cover a given area. Indoor units are comparable in size to a cable modem or DSL modem. Outdoor units are roughly the size of a textbook, and their installation is comparable to a residential satellite dish.
Limitations
A commonly held misconception is that WiMAX will deliver 70 Mbit/s, over 70 miles (112.6 kilometers). Each of these is true individually, given ideal circumstances, but they are not simultaneously true. In practice this means that in line-of-sight environments you could deliver symmetrical speeds of 10Mbps at 10km but in urban environments it is more likely that 30% of installations may be non-line-of-sight and therefore users may only receive 10Mbps over 2km. WiMAX has some similarities to DSL in this respect, where one can either have high bandwidth or long reach, but not both simultaneously. The other feature to consider with WiMAX is that available bandwidth is shared between users in a given radio sector, so if there are many active users in a single sector, each will get reduced bandwidth. However, unlike SDSL where contention is very noticeable at a 5:1 ratio (if you are sharing your connection with a large media firm for example), WiMAX does not have this problem. Typically each cell has a whole 100Mbps backhaul so there is no contention here. In practice, many users will have a range of 2-, 4-, 6-, 8- or 10Mbps services and the bandwidth can be shared. If the network becomes busy the business model is more like GSM or UMTS than DSL. It is easy to predict capacity requirements as you add customers and additional radio cards can be added on the same sector to increase the capacity.
Mobile applications
Some cellular companies are evaluating WiMAX as a means of increasing bandwidth for a variety of data-intensive applications; indeed, Sprint Nextel has announced in mid-2006 that it would be investing about US$ 3 billion in a WiMAX technology buildout over the next few years[2].
In line with these possible applications is the technology's ability to serve as a high bandwidth "backhaul" for Internet or cellular phone traffic from remote areas back to an Internet backbone. Although the cost-effectiveness of WiMAX in a remote application will be higher, it is not limited to such applications, and may be an answer to reducing the cost of T1/E1 backhaul as well. Given the limited wired infrastructure in some developing countries, the costs to install a WiMAX station in conjunction with an existing cellular tower or even as a solitary hub are likely to be small in comparison to developing a wired solution. Areas of low population density and flat terrain are particularly suited to WiMAX and its range. For countries that have skipped wired infrastructure as a result of prohibitive costs and unsympathetic geography, WiMAX can enhance wireless infrastructure in an inexpensive, decentralized, deployment-friendly and effective manner.
Technical information
WiMAX is a term coined to describe standard, interoperable implementations of IEEE 802.16 wireless networks, in a rather similar way to Wi-Fi being interoperable implementations of the IEEE 802.11 Wireless LAN standard. However, WiMAX is very different from Wi-Fi in the way it works.
MAC layer/ Data Link Layer
In Wi-Fi the media access controller (MAC) uses contention access — all subscriber stations that wish to pass data through a wireless access point (AP) are competing for the AP's attention on a random interrupt basis. This can cause subscriber stations distant from the AP to be repeatedly interrupted by closer stations, greatly reducing their throughput. This makes services such as Voice over IP (VoIP) or IPTV, which depend on an essentially constant Quality of Service (QoS) depending on data rate and interruptibility, difficult to maintain for more than a few simultaneous users.
In contrast, the 802.16 MAC uses a scheduling algorithm for which the subscriber station need compete once (for initial entry into the network). After that it is allocated an access slot by the base station. The time slot can enlarge and contract, but remains assigned to the subscriber station which means that other subscribers cannot use it. The 802.16 scheduling algorithm is stable under overload and over-subscription (unlike 802.11). It can also be more bandwidth efficient. The scheduling algorithm also allows the base station to control QoS parameters by balancing the time-slot assignments among the application needs of the subscriber stations.
Physical layer
The original WiMAX standard (IEEE 802.16) specified WiMAX for the 10 to 66 GHz range. 802.16a, updated in 2004 to 802.16-2004, added specifications for the 2 to 11 GHz range. 802.16-2004 was updated to 802.16e in 2005 and uses scalable orthogonal frequency-division multiplexing (OFDM) as opposed to the OFDM version with 256 sub-carriers (of which 200 are used) in 802.16d. More advanced versions including 802.16e also bring Multiple Antenna Support through Multiple-input multiple-output communications. This brings potential benefits in terms of coverage, self installation, power consumption, frequency re-use and bandwidth efficiency. 802.16e also adds a capability for full mobility support. The WiMAX certification allows vendors with 802.16d products to sell their equipment as WiMAX certified, thus ensuring a level of interoperability with other certified products, as long as they fit the same profile.
Most commercial interest is in the 802.16d and .16e standards, since the lower frequencies used in these variants suffer less from inherent signal attenuation and therefore give improved range and in-building penetration. Already today, a number of networks throughout the World are in commercial operation using certified WiMAX equipment compliant with the 802.16d standard.