5G phone service in the woods?

[Mike Henderson]

One thing I read is that the big opportunity the wireless providers see is the ability to provide high speed Internet access to homes. Today, the incumbent Internet providers have a monopoly position, or near monopoly, because of the need to run some type of wire or optical fiber under the streets or on on poles. The wireless people will be able to put a base station in a neighborhood and offer high speed Internet access to residential customers. They might have to put an antenna on the house but many customers may be able to get the signal without it.

And, of course, those neighborhood wireless nodes will also serve smart phones.

Mike

[Jim Becker]

Mike, that's correct. For example, Verizon, specifically, is deploying fixed wireless to homes and businesses in any "new" footprints that don't have their FiOS service which is FTTH. (Fiber To The Home) The cost to deploy wireless is (theoretically) substantially less than running fiber and the necessary passive distribution equipment to support it while the projected speed available with "true" 5G are approaching a reasonable level that can satisfy most consumers without deploying fiber. ATT is thinking similarly as their VDSL just doesn't perform well and their fiber footprint is relatively small. This technology also permits them to economically overlay areas that they do not currently offer "traditional" services which is the holy grail for long-term success in their minds.