FCC: ‘Make better use of airwaves’; xG technology: ‘can do’

FT. LAUDERDALE, USA: The head of the Federal Communications Commission recently observed that the nation'’s airwaves are being asked to carry an ever increasing amount of traffic and that it will be necessary in the future to make better use of our airwaves.

To date, cell phone conversations have technically required the use of licensed airwaves -- that cost carriers billions of dollars -- in order to function.

Today, however, advances in technology have produced mobile devices that are capable of handling cell phone conversations using free airwaves. Not only do these devices avoid the high cost of access to the airwaves, but they also save money by placing calls across the Internet instead of relying upon the traditional telephone networks. What'’s more, these devices also add capacity to the nation’s overloaded cellular infrastructure.

An example of one company working to make such devices available is xG technology. xG has deployed and is operating a mobile demonstration network in Ft. Lauderdale.

According to Rick Mooers, CEO and board chair: “We have developed a new technology that bypasses the traditional cell phone networks to bring lower calling costs to the market. This disruptive technology is going to shake things up a bit. While some may not want it to see the light of the day, xG’'s xMax mobile network offers the only viable alternative to existing incumbent networks.”

It is clear why the xG model has garnered so much attention when you contrast xG’'s zero cost of spectrum with the $4.7 billion that Verizon recently spent to obtain nationwide licensed spectrum just in the 700MHz, Block C auction.

Not included are Verizon’s cost of towers, base stations or any other costs associated with deploying the system. In real terms, the xMax network is only a fraction of the cost of a traditional cellular system. By making better use of unlicensed spectrum future cell phone service can be offered for a fraction of current rates.

By designing its xMax all-IP network from the ground up to use either free unlicensed, as well as licensed spectrum, the company is opening the door to potentially cause a major shift in investment, business models and services in the cellular industry.

xMax is the product of xG Technology's extensive R&D activity, a $100 million international effort that involves companies in the US, Europe and Asia. xG's patent portfolio, which now includes 50 US and more than 100 international patents and pending patent applications, is being developed with the goal of bringing lower-cost communications to consumers.