In the United States, three large cellular-service providers offer mobile broadband services on their networks. Sprint and Verizon are both CDMA networks, so their services are based on EV-DO technology. AT&T, formerly Cingular, is a GSM network, so it’s offering an HSDPA mobile broadband service.

Mobile broadband services provide fast and easy ways to connect even from coffee shops.
All three of these companies have built nationwide cellular networks. But not every part of the network is created equal. If you’re in a major metropolitan area, then you’ll have the most data services available to you. But if you’re out in a rural area, you may be limited to simply making phone calls or browsing the Web at dial-up speeds.
For example, AT&T’s mobile broadband service is called BroadbandConnect. With BroadbandConnect, you can send e-mails, instant messages, browse the Web at speeds between 400 and 700Kbps, watch TV shows, and even record and share live video during a phone call.
But to access all of these BroadbandConnect services, you need to be within coverage range of AT&T’s 3G network. Right now, that’s confined to the nation’s largest cities. If you’re outside of that coverage area, you can still access some data services like e-mail, text messaging and Web browsing, but at speeds between 75 and 135Kbps.
Sprint and Verizon’s services are the same. With Sprint’s mobile broadband service, you can use your cell phone to send e-mails, listen to streaming radio stations, download songs and music videos, watch live TV, share photos, play games and browse the Web at speeds between 600Kbps and 1.4Mbps (megabytes per second).
But like AT&T, the most data services and the best connection speeds are only available in 3G coverage areas, which are usually found in the nation’s biggest cities. On the fringes of these coverage areas are mobile broadband roaming areas, which offer limited multimedia and data services. Even further outside major cities is the regular Sprint nationwide cellular network, with basic data services and connection speeds between 50 and 70Kbps, similar to dial-up.
What you pay to access these mobile broadband networks depends on what device you’re going to use. There are four basic options for connecting to a 3G network:
- 3G cell phone
- PDA/smartphone
- laptop computer with a PC card
- laptop computer using a cell phone as a modem
For each of these options, the cellular providers offer several different mobile broadband payment plans. There’s usually an option for unlimited monthly access, which is the most expensive plan. Another option is to pick a plan that allows for a maximum amount of data transfer a month. Sprint, for example, has an option for laptop users to pay $39.99 a month for 40MB (megtabytes) of data transfer over the network. Verizon has a 5GB (gigabyte) plan for $59.99 a month. To give you an idea of what that means, Verizon says you could send 1,747,627 e-mails a month before reaching 5GB, or look up nearly 35,000 Web pages
Cellular providers generally package their mobile broadband services for cell phone users. Sprint’s package is called Power Vision and AT&T’s is called MEdia Net. You pay extra for these packages on top of your regular calling plan. Or you can sign up for an all-inclusive plan that gives you a certain amount of anytime minutes per month, plus unlimited mobile broadband usage. With a PDA or smartphone, you can choose from unlimited or maximum data usage plus a voice-calling plan.
If you don’t want to sign up for a monthly plan, you can actually pay by the kilobyte of data transfer. Sprint, for example, charges three cents a kilobyte for mobile broadband access without a monthly plan.
Now let’s break down the terms and fees of a mobile broadband plan.
Terms and Fees of Mobile Broadband Services
Mobile broadband is a brand new technology, so expect to pay a premium to use it. Like all cellular services, mobile broadband requires a one- or two-year contract. If you cancel the contract early, the cellular provider can charge an early termination fee up to $200.
If you’re going to use a cell phone for mobile broadband access, you might also need to buy a new phone. Cellular providers require that you use certain phones to access certain services. If you want to sign up for AT&T’s BroadbandConnect service, for example, you’ll choose from a dozen or so phones that have the right hardware and software to handle Web browsing and multimedia playback. And if you don’t sign up for an all-inclusive voice and data plan, then you’ll have to sign up for some kind of voice plan in addition to the mobile broadband contract.
The nice part is that the cellular providers often offer steep rebates and discounts when you buy a phone with a voice or data plan. Some phones and PC cards are even free after all of the instant discounts, online savings and mail-in rebates.
Make sure you read your mobile broadband contract closely and pay attention to all of the surcharges and taxes that apply. When you’re quoted a monthly charge of $39.99 a month, that doesn’t include any of the extra fees that will show up on your monthly bill. Let’s talk about a few of them:
- Most cellular service contracts come with a one-time activation fee of around $35.
- Some contracts require a deposit. Depending on your credit history, that deposit could be as low as $50 or as high as $1,000.
- Cellular services are subject to state and local taxes. Depending on where you live, those could add between 4 and 35 percent to your monthly bill.
- Phone companies are required to contribute to a federal fund for providing phone access to low-income individuals and families. This is called the Universal Service Fund (USF). As of April 1, 2008, the FCC is charging 11.3 percent per telephone line, also known as the Federal Universal Service Charge.
- There are also various regulatory and administrative charges that add up to around one dollar a month.
Some mobile broadband services have roaming areas that extend into parts of Mexico and Canada. Generally, if you use data or mobile broadband services within one of these extended roaming areas, you’ll be charged an extra fee based on a set price per kilobyte or megabyte of data transfer.
We hope this has been a helpful introduction to the exciting possibilities of mobile broadband. For more information about mobile broadband services, wireless technology and related topics, check out the links on the next page.
Broadband today: your options
3G mobile broadband is now available from all of the major operators in Australia. The major differences between the available services are coverage, performance and price. Since launching its NextG network, Telstra has led the race in terms of coverage and performance but Optus is rapidly closing the gap. VHA, the organisation resulting from the merger of Vodafone and Three, offers more aggressive pricing but is behind when it comes to coverage.
3G broadband is now more competitively priced than even entry level DSL. Coverage by the major network operators also rivals DSL:
• Telstra offers 99 percent coverage with its Next G network
• Optus offers 96 percent with its Yes G network. Aims to hit 98 percent by end the end of 2009
• Vodafone and Three to merge Australian operations to achieve 95 percent coverage
VPN services meet your business needs
VPN (Virtual Private Network) access is becoming the most significant driver for 3G broadband uptake when it comes to SMEs. It is being used for a mix of mobile, roaming and fixed requirements and as a substitution for DSL services, in circumstances where it arguably offers advantages. The availability of network-based 3G broadband VPN services will serve to increase the attractiveness of 3G broadband to business customers due to the high speed, broad coverage and relatively low cost that it now offers.
VPN is ideal for SME businesses. The ability to build corporate networks on a common IP core has transformed the way such businesses operate. The ability to connect 3G broadband services into such networks will drive further transformation. IP VPN technology is now very mature, having evolved in parallel with DSL. The speed and cost of 3G services is evolving more rapidly than was the case for DSL. 3G broadband is able to be used as a mobile, nomadic and fixed service, making it extremely versatile.
3G mobile broadband and your business
Being inherently ‘mobile,’ 3G broadband services are ideal for use by mobile field resources such as consultants and service technicians. Similarly, it is well suited to regular travelers or ‘road warriors’ that need access from their hotel, while at a client site or simply between meetings whilst sitting in a coffee shop. Sales staff will also benefit from the mobile nature of 3G broadband. They might look up and/or update details whilst with a client or perhaps avoid unnecessarily trips back to the office between meetings, saving precious selling time. For example, taking car hire Morocco with broadband service will give your mobile gadget access to the Internet.
I met with a client recently who has consultants that typically work on location at major banks and financial institutions. They have often found it hard to make arrangements for appropriate connectivity for their staff, which may require allowing for VPN access through a firewall. VPN access via a 3G broadband connection is an ideal solution in this instance; however it would be wise to have an external antenna, particularly if working in multi-story buildings.
In sites with a single computer and/or where an appropriate router and/or firewall is used, 3G broadband services may also be used to cater for ‘nomadic’ or ‘fixed’ requirements.
Given that there is no need to ‘install’ or ‘uninstall’ a 3G broadband service, they offer significant benefits for nomadic requirements. An example might be a stand at a trade show, where it has typically been costly and painful to set up appropriate network connectivity. Other examples might be a short-term retail shop, a temporary office while a business goes through a period of change or perhaps a disaster recovery site. In each case, 3G broadband offers cost savings and much less fuss.
Think of a staff member who frequently works from home and occasionally works on client sites. A 3G broadband service provides access in both cases and might also feature in your disaster recovery plan as it enables them to work from wherever it is deemed appropriate. And if they leave the business, you can reallocate their 3G device to another member of staff without having to pay any setup or termination fees. In short, 3G broadband is very adaptable and offers significant flexibility.
Telstra and Optus have begun to offer 3G VPN services that are network-based by terminating a 3G broadband service onto an MPLS (Multi-Protocol Label Switching) VPN. Optus has recently begun to offer a wholesale service that also enables other carriers and service providers to interconnect in order to offer such services via the Optus Yes G network. Telarus is one of these operators and will launch its 3G VPN service shortly.
A network-based 3G VPN service may avoid the necessity for VPN tunneling and encryption technologies. This results in faster access and more efficient use of bandwidth (saving money), due to reduced protocol overhead. It also makes access to the corporate network with a 3G broadband service much easier and more stable. Regular users of 3G broadband for VPN access will no doubt appreciate the ability to simply ‘plug and play’ with a network-based VPN service.
There are many security features that can be enabled if your carrier or service provider offers a comprehensive managed firewall service and you have a discrete network-based VPN for your 3G broadband services. Any required internet access can be authenticated and is centrally protected by the firewall. There is also the ability to apply policy control when a device on a 3G broadband service tries to connect to the corporate network (for e.g. you might only allow access to a Windows Terminal Server).
Network-based 3G VPN services will provide tools that will further accelerate the growth of 3G broadband for business by enabling easier and/or more secure access to corporate networks.
In conclusion
Widespread 3G uptake is driving increased speeds, enhanced coverage and lower prices that will in turn lead to further growth. The global proliferation of HSPA as a technology will support this trend, enabling the ability to ‘roam,’ delivering ongoing enhancements and assisting to make high quality devices available at the best possible price.
For SMEs, VPN access will be the primary driver for 3G broadband uptake. It will enable 3G broadband to be used not only for mobile workers but also as an alternative or to complement fixed broadband as a ‘nomadic’ or ‘fixed’ access service. Benefits will include increased flexibility and efficiency, reduced costs and greater fault tolerance.
Given the high speed and many benefits offered by 3G broadband, we are already starting to see substitution of 3G broadband services for DSL and other fixed line technologies and analysts agree that this is only going to continue, 3G broadband is the way of the future for the SME market.
When the BlackBerry debuted in 1999, carrying one was a hallmark of powerful executives and savvy technophiles.Most executives that wears ID lanyards might have already own a Blackberry.
People who purchased one either needed or wanted constant access to e-mail, a calendar and a phone. The BlackBerry’s manufacturer, Research in Motion (RIM), reported only 25,000 subscribers in that first year. But since then, its popularity has skyrocketed.
![]() Image courtesy RIM |
In September 2005, RIM reported 3.65 million subscribers, and users describe being addicted to the devices. The BlackBerry has even brought new slang to the English language. There are words for flirting via BlackBerry (blirting), repetitive motion injuries from too much BlackBerry use (BlackBerry thumb) and unwisely using one’s BlackBerry while intoxicated (drunk-Berrying). While some people credit the BlackBerry with letting them get out of the office and spend time with friends and family, others accuse them of allowing work to infiltrate every moment of free time.
In this article, we’ll examine the “push” technology at the center of the device’s popularity, RIM’s former dispute with patent holder NTP Incorporated and its current dispute with Visto Corporation. We’ll also explore BlackBerry hardware and software.
“Push” Technology
RIM Revenue
Source: |
A PDA does a lot of the same things a BlackBerry does, and the PDA made its
debut several years before the BlackBerry. But until recently, the only way to make the information on most PDAs match the
information on a person’s computer was to automatically or manuallysync the PDA. This could be time-consuming and inconvenient. It could also lead to exactly the conflicts that having a PDA is supposed to prevent. For example, a manager might schedule a meeting on the PDA, not knowing that an assistant had just scheduled a meeting for the same time on a networked calendar.
A BlackBerry, on the other hand, does everything a PDA can do, and it syncs itself continually throughpush technology. BlackBerry Enterprise Server or Desktop Redirector software “pushes,” or redirects, new e-mail, calendar updates, documents and other data straight to the user over the Internet and the cell phone network.
First, the software senses that a new message has arrived or the data has changed. Then, it compresses, packages and redirects the information to the handheld unit. The server uses hypertext transfer protocol (HTTP) and transmission control protocol (TCP) to communicate with the handhelds. It also encrypts the data with triple data encryption standard (DES) or advanced encryption standard (AES).
![]() A person can send and receive messages and phone calls on a BlackBerry from virtually any location. |
The software determines the capabilities of the BlackBerry and lets people establish criteria for the information they want to have delivered. The criteria can include message type and size, specific senders and updates to specific programs or databases.
Once all of the parameters have been set, the software waits for updated content. When a new message or other data arrives, the software formats the information for transmission to and display on the BlackBerry. It packages e-mail messages into a kind of electronic envelope so the user can decide whether to open or retrieve the rest of the message.
| BlackBerry Devices in the United States70 percent of BlackBerry subscribers live in the United States |
The BlackBerry listens for new information and notifies the user when it arrives by vibrating, changing an icon on the screen or turning on a light. The BlackBerry does not poll the server to look for updates. It simply waits for the update to arrive and notifies the user when it does. With e-mail, a copy of each message also goes to the user’s inbox on the computer, but the e-mail client can mark the message as read once the user reads it on the BlackBerry.
People describe BlackBerry use as an addiction, and this is why. Not only do they give people constant access to their phones, they also provide continual updates to e-mail, calendars and other tools.
Lately, RIM had been dealing with issues of patent infringement.
The Patent Dispute
Patent law can be tricky, and the claims companies make in their patents can be hard to quantify. But here is the basic dilemma that RIM and the BlackBerry were facing — NTP Incorporated holds several patents for wireless e-mail technology. RIM’s push technology is similar to, but more complex than, the technology NTP has patented. NTP had accused RIM of patent infringement, and judges and juries agreed. The patent dispute and a delayed rollout of new BlackBerry models caused a slight slowdown in RIM’s rapid growth.
The dispute between NTP and RIM started in 2001, when NTP sued RIM. Courts have generally ruled in NTP’s favor, granting monetary settlements and injunctions against RIM. RIM, however, has appealed the rulings and had requested a review of NTP’s patents. The United States Patent and Trademark Office (USPTO) has overturned several of the patents in question.
![]() People compose e-mail on a BlackBerry using a QWERTY keyboard and typing with their thumbs. Unfortunately, the BlackBerry’s e-mail capabilities are the focus of a patent dispute. |
In November of 2005, a United States district judge ruled that a previous monetary settlement between the two companies was not enforceable. On January 23, 2006, the United States Supreme Court turned down RIM’s request to review the district court ruling. The big concern was that this decision would lead to an injunction prohibiting BlackBerry sales and service in the United States. The U.S. Department of Justice requested a 90-day stay for essential government employees in the event of an injunction. RIM suggested the possibility of a software work-around that would not infringe on NTP’s patents, and RIM and NTP began negotiations through a court-appointed mediator.
RIM and NTP have settled their dispute. The cost — $612.5 million. The result — NTP grants RIM a license to NTP’s patents. According to a press release issued by both companies on March 3, 2006, here’s the agreement:
“The licensing and settlement agreement relates to all patents owned and controlled by NTP and covers all of RIM’s products, services and technologies. NTP grants RIM an unfettered right to continue its business, including its BlackBerry® related business. The resolution permits RIM and its partners to sell RIM products and services completely free and clear of any claim by NTP, including any claims that NTP may have against wireless carriers, channel partners, suppliers or customers in relation to RIM products or services, (including BlackBerry Connect and Built-In technology), or in relation to third party products and services, to the extent they are used in connection with RIM products and services.”
Next, we’ll look at the BlackBerry’s hardware and software.
| Future Cases?Although now settled, the RIM/NTP dispute raises the question of why other companies that provide smart phones with push technology are not in court as well. Some of these companies have licenses from NTP to use patented technology. Others use technology that does not conflict with NTP’s patents. Regardless of whether an injunction eventually shuts down RIM’s business in the United States, more companies are likely to introduce PDAs and smart phones with push e-mail and data capabilities, until constant access to e-mail and an updated calendar is as common as a cellphone. |



