& cplSiteName &

Verizon Wireless: Rise of the Machines

Dan Jones
LR Mobile News Analysis
Dan Jones, Mobile Editor
9/15/2008
50%
50%

The scope of Verizon Wireless 's "open access" network project is finally becoming clear, and it won't -- initially at least -- have much to do with us puny humans. In fact, 90 percent of the devices that are in the process of certification are actually focused on machine-to-machine (M2M) communication.

Machine-to-machine communication generally involves a wide array of sensors, tracking devices, temperature monitors, and other distinctly non-sexy gizmos. In fact, Tony Lewis, Verizon's VP of open development, tells Unstrung that the first two devices that have been certified for open use over Verizon's CDMA wireless network are a storage tank-monitoring device from SupplyNet Communications and a prisoner-tracking electronic ankle bracelet.

This will be followed by a wireless router for the insurance industry and a $69 speech and texting device. Lewis, speaking at the CTIA show last week, noted that this neatly reflected the early devices that are coming up for certification under the open access plans.

"Ninety percent of them are M2M," Lewis said. "The other 10 percent are low-cost handsets and PDAs." (See Where Is Verizon's Open Access?, Verizon Tears Down the 'Walled Garden' and 'Open Access' Gets Closer.)

So why the sudden rise of machine-to-machine for Verizon? "The promise of machine talking to machine was always there, but the question for vendors was 'what network' and how to get on it quickly and cheaply," notes Lewis.

He claims that Verizon's open network plan now offers a "low-cost, low touch" model that appeals to vendors that are looking at applications that require straightforward automation and communication. "I have guaranteed those folks they will be on my network within four weeks," Lewis notes, reflecting on how fast initial devices have gone through the process.

He believes that the open access move could help open up the market for more commercial M2M applications, such as in-home sensors and health care-related products. Sensors in the home could be used for everything from heat regulation to security.

The initial burst of M2M activity doesn't preclude more consumer-orientated open handsets trickling onto the Verizon network as well, Lewis says. "Those [M2M] vendors were smart enough to see what the advantages where and approach us first."

Other handsets could follow soon. "Android, LiMo, Microsoft," says Lewis. "It matters not to me, I love them all."

LiMo Foundation handsets are expected to arrive on Verizon in 2009; there has been speculation about Google (Nasdaq: GOOG)'s Android on the open network. Does Lewis, however, really expect Microsoft Corp. (Nasdaq: MSFT) -- the sworn opponent of all things Linux -- to go open access?

"You never know," Lewis says with a laugh.

Verizon spokesman Jeff Nelson also points out that if an Android device goes through an open network certification for Verizon, it could later become available on the "closed" network as well.

Verizon certainly sees the benefit of running the two networks in parallel, with more device cost breaks and customer support being offered on the regular old closed network. (See CTIA: Open Is the New Frontier.)

"There are 69 million people who do in fact vote with their wallet and say they do, in fact, enjoy closed," Nelson notes.

— Dan Jones, Site Editor, Unstrung

(3)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
IPobserver
50%
50%
IPobserver,
User Rank: Light Beer
12/5/2012 | 3:32:12 PM
re: Verizon Wireless: Rise of the Machines
Looks a very smart strategy by VZW. Dan, any word on the proportion of devices that are EV-DO versus 1xRTT?

Most machine-to-machine services (telemetry, normally) have historically only required low bit rates and so work fine on GPRS and 1x. IGÇÖd be very interested to hear about applications using 3G.
joset01
50%
50%
joset01,
User Rank: Light Beer
12/5/2012 | 3:32:11 PM
re: Verizon Wireless: Rise of the Machines
Lewis wouldn't talk much about numbers but I got the sense it was mostly applications that don't need much in the way of speed.
lrmobile_Ziggy
50%
50%
lrmobile_Ziggy,
User Rank: Moderator
12/5/2012 | 3:32:10 PM
re: Verizon Wireless: Rise of the Machines
M2M device vendors are probably considering 1x-only designs (though the chips are not that much less expensive than EVDO ones), but Verizon may actually prefer devices with EVDO. EVDO, even for low data rates, efficiently uses the channels, while 1x data services are less efficient and reduce the capacity available for voice services (which are still, as far as I know, Verizon's bread and butter).

Device manufacturers and Verizon may have conflicting goals. It's easier to deal with those when one controls which devices are sold for the network. For this "open network" initiative, I don't know how they are dealing with the issue.
From The Founder
The independent evaluation of Nokia's key virtual network functions (VNFs) was a defining moment for the Finnish giant.
Flash Poll
Live Streaming Video
Charting the CSP’s Future
Six different communications service providers join to debate their visions of the future CSP, following a landmark presentation from AT&T on its massive virtualization efforts and a look back on where the telecom industry has been and where it’s going from two industry veterans.
LRTV Custom TV
Cisco's Innovations in Cable

5|26|16   |   03:18   |   (0) comments


Marc Aldrich from Cisco discusses the latest in security, the evolution and momentum for CCAP and what the industry will be seeing next from Cisco.
LRTV Documentaries
Leading Lights 2016 Highlights

5|25|16   |   02:26   |   (1) comment


Some of the high points from this year's Leading Lights awards dinner at the Hotel Ella in Austin, Texas.
LRTV Documentaries
Light Reading Hall of Fame 2016

5|23|16   |   05:43   |   (0) comments


Find out who has been welcomed into Light Reading's Hall of Fame this year.
LRTV Custom TV
ZTE TM Forum Highlights

5|23|16   |     |   (0) comments


ZTE showcased its new ICT solutions at TM Forum in Nice.
LRTV Interviews
Gamma's MD on the Emergence of UC2

5|20|16   |     |   (0) comments


Gamma Communications Managing Director David Macfarlane believes the unified communications (UC) market has reached a tipping point.
LRTV Custom TV
The Ultimate 5-Minute Guide to Digital Customer Engagement

5|20|16   |     |   (0) comments


In this short video, you will hear all about how Digital Customer Engagement is the key to meeting customer expectations, keeping them happy, and maximizing revenue. VP Product & Marketing at Pontis, Ofer Razon, breaks down for us the five essential capabilities for successful Digital Customer Engagement. Don’t miss!
LRTV Custom TV
NFV in 2016: Part 1 – NFV Use Cases Get Real

5|19|16   |   05:57   |   (0) comments


Consensus is building around the key use cases for NFV, including managed IP services at the network edge and on customer premises, which can generate new revenues from enterprises/SMBs and consumers; Evolved Packet Core to support LTE migration; and adjacent technologies, such as TAS and IMS, to support VoLTE and next-generation charging and policy control ...
LRTV Custom TV
Nokia's Steve Vogelsang on NFV – Part 3

5|19|16   |     |   (0) comments


Steve Vogelsang discusses the challenges of operational transformation and how Nokia helps its customers. Join Steve at the Big Communications Event in Austin the morning of May 24, on his keynote and optical networking panel.
LRTV Interviews
Level 3: Why UC Is In Demand

5|17|16   |   04:12   |   (1) comment


Andrew Edison, Level 3's senior VP of sales, EMEA region, talks about the drivers of growth in the unified communications services market.
LRTV Custom TV
ARM's OPNFV Action

5|17|16   |     |   (0) comments


At the ARM booth at MWC 2016, Joe Kidder and Bob Monkman speak to Light Reading about OPNFV and their upcoming action.
LRTV Custom TV
Nokia's Steve Vogelsang on NFV – Part 2

5|16|16   |     |   (0) comments


Steve Vogelsang gives advice to service providers on how to move to NFV. Join Steve at the Big Communications Event in Austin the morning of May 24, on his keynote and optical networking panel.
LRTV Interviews
Interoute CTO on NFV's Maturity

5|13|16   |   06:46   |   (1) comment


Matt Finnie, CTO at international operator Interoute, explains how NFV has made life easier in terms of logistics and how Interoute can now enable a 'software-defined moment' for its customers.
Upcoming Live Events
September 13-14, 2016, The Curtis Hotel, Denver, CO
December 6-8, 2016,
June 16-18, 2017, Austin Convention Center, Austin, TX
All Upcoming Live Events
Infographics
A new survey conducted by Heavy Reading and TM Forum shows that CSPs around the world see the move to digital operations as a necessary part of their overall virtualization strategies.
Hot Topics
DT: Telcos Must Escape Vendor Prison
Iain Morris, News Editor, 5/24/2016
AT&T to Start 5G 'Friendly' Trial by 2016 End
Dan Jones, Mobile Editor, 5/24/2016
WiCipedia: Short Skirts & Back-Up Plans
Eryn Leavens, Special Features & Copy Editor, 5/20/2016
Eurobites: Be More European, EU Tells Streaming Services
Paul Rainford, Assistant Editor, Europe, 5/20/2016
Cable Is Eyeing Its Retail Options
Mari Silbey, Senior Editor, Cable/Video, 5/25/2016
Like Us on Facebook
Twitter Feed
BETWEEN THE CEOs - Executive Interviews
In this latest installment of the CEO Chat series, Craig Labovitz, co-founder and CEO of Deepfield, sits down with Light Reading's Steve Saunders in Light Reading's New York City office to discuss how Deepfield fits in with the big data trend and more.
Grant van Rooyen, president and CEO of Cologix, sits down with Steve Saunders, founder and CEO of Light Reading, in the vendor's New Jersey facility to offer an inside look at the company's success story and discuss the importance of security in the telecom industry.
Animals with Phones
Live Digital Audio

Our world has evolved through innovation from the Industrial Revolution of the 1740s to the information age, and it is now entering the Fourth Industrial Revolution, driven by technology. Technology is driving a paradigm shift in the way digital solutions deliver a connected world, changing the way we live, communicate and provide solutions. It can have a powerful impact on how we tackle some of the world’s most pressing problems. In this radio show, Caroline Dowling, President of Communications Infrastructure & Enterprise Computing at Flex, will join Women in Comms Director Sarah Thomas to discuss the impact technology has on society and how it can be a game-changer across the globe; improving lives and creating a smarter world. Dowling, a Cork, Ireland, native and graduate of Harvard Business School's Advanced Management Program, will also discuss her experience managing an international team focused on innovation in an age of high-speed change.