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Road to 3G begins in Seattle for AT&T Wireless

Faster service won't be available until end of 2002.

By Denise Pappalardo
Network World, 07/30/01

AT&T Wireless is beginning to offer faster wireless data speeds on its network, but only a minority of U.S. customers will see the benefits within the next year.

AT&T Wireless currently has a national Time Division Multiple Access (TDMA) network. It announced last year that it would build an overlay network using Global Systems for Mobile communication (GSM) and General Packet Radio Service (GPRS) technologies on its road to 3G wireless support.

The wireless service provider, which spun off from AT&T earlier this month, has completed that overlay network in Seattle. The new technology lets users access the Internet and send e-mail and text messages at 30K bit/sec to 40K bit/sec.

AT&T Wireless expects it will have GPRS built over 40% of its network by year-end, with 100% completed by the end of 2002.

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The GPRS upgrade increases wireless data speeds two to three times compared with what's available from other wireless service providers. While slower than the standard 56K bit/sec wireline modem, AT&T Wireless service is an improvement over the fastest wireless voice and data services that max out at 14.4K bit/sec.

The AT&T Wireless GPRS upgrade is considered a 2.5G technology. AT&T will upgrade to GSM Enhanced Data rates for GSM Evolution sometime next year, which will support 3G wireless data speeds of at least 144K bit/sec.

AT&T chose GSM because it is the world's dominant next-generation wireless technology. Ira Brodsky, president of DataComm Research, says GPRS will be more successful than initial Code Division Multiple Access 2000 (CDMA2000) deployments by competitors such as Sprint PCS and Verizon Wireless. These wireless service providers have CDMA networks in place.

But Brodsky says AT&T Wireless chose the wrong technology. "GPRS/GSM requires a new radio network and a new core network, so this is going to be a very expensive move," he says.

AT&T Wireless is spending $5 billion to upgrade its TDMA network this year.

Users have to buy a new phone, which will only work in Seattle today. Dual-mode phones that support TDMA and GSM/GPRS are not available. Users will also receive separate bills if they use both AT&T Wireless services.

Although AT&T Wireless is offering a faster service, it soon will have stiff competition from Sprint PCS and Verizon Wireless. Both service providers are upgrading their networks with CDMA2000, which will support data transmission speeds of 70K bit/sec to 150K bit/sec.

Verizon Wireless promises 3G upgrades in the fourth quarter in a few cities, which it would not name. Sprint PCS says it too will have a few cities upgraded to the faster wireless service by year-end. Sprint PCS also promises nationwide 3G support by mid-2002. Neither provider could share details about pricing or service packages.

AT&T Wireless Mobile Internet service is available in five packages, starting at $50 per month. The basic package includes 400 voice minutes. A 2000-minute package costs $160 per month.

All the packages include 1MB of data transmissions per month. Users pay $.0075 for every kilobyte beyond the first megabyte.

Users also must purchase a Motorola Timeport handset for $200.

Road to 3G begins in Seattle for AT&T Wireless

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