Light Reading
CEO says he wants no intelligence in LightSquared's wholesale LTE network. 'None. Zero'

LightSquared: 4G America's Dumbest Pipe

Sarah Reedy
LR Mobile News Analysis
Sarah Reedy, Senior Editor
11/2/2011
50%
50%

SAN FRANCISCO -- Open Mobile Summit 2011 -- Wholesale satellite and terrestrial Long Term Evolution (LTE) provider LightSquared 's goal is to build the dumbest of all wireless pipes possible in hopes that its growing list of partners will bring the creativity, CEO Sanjiv Ahuja told Open Mobile Summit attendees Wednesday.

"LightSquared is building the ultimate dumb pipe," he said in his keynote address. "We want to be the dumbest wireless broadband pipe. No intelligence in our network. None. Zero."

Unlike vertically integrated wireless operators focused on the high end, Ajuha said LightSquared was formed to make wireless broadband a pure utility, bringing it to 100 million people in the U.S. before the end of 2012. Inherent in that wholesale structure is an open network. The company has already signed up nearly 20 wholesale partners and vows to have 100 of all sizes in total. (See LightSquared Anticipates Close to 100 Customers, LightSquared Adds YourTel to Wholesale Roster and LightSquared Inks LTE Deal with Vox.)

"You aren't looking for your carrier to provide intelligence; you want the device manufacturer to have connectivity embedded," Ajuha continued. LightSquared's first smartphone maker to do this will be Sharp Electronics Corp. (See LightSquared: Lookin' Sharp, Sharp Talks 3-D & More, LightSquared Gets Sharp for Smartphones and LightSquared's First Device: SuperMiFi .)

In order to unleash this creativity, LightSquared has paired up with Nokia Networks to start a Silicon Valley site called the Innovation SandBox, where startups and entrepreneurs can develop hardware and software and test it on LightSquared's LTE network. The SandBox, which closely resembles the wireless operators' innovation centers, is equivalent to a Match.com for the wireless industry, Ajuha said.

"We don't have a monopoly on creativity," he said. "Creativity happens when you let people have the opportunity to connect to a totally open environment. That's what we are creating."

Just as LightSquared wants to have a hands-off role on development, Ajuha said he wants the Federal Communications Commission (FCC) to leave any GPS issues to the engineers. When asked about LightSquared's very public run-ins with the GPS industry over interference, Ajuha said he's working through it and is confident the company's several proposed solutions will solve the problem. (See LightSquared Finds Another GPS Fix, Soybean Farmers Skeptical of LightSquared, LightSquared: We're the Good Guys, LightSquared Claims High-Precision GPS Fix and LightSquared CEO: Stop Using Us as a Pinata.)

"We think those challenges are behind us," he said. "We are working closer with the FAA [Federal Aviation Administration] to ensure there are no safety issues. We are very confident we'll solve that."

— Sarah Reedy, Senior Reporter, Light Reading Mobile

(6)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View
percosan
50%
50%
percosan,
User Rank: Light Beer
12/5/2012 | 4:49:53 PM
re: LightSquared: 4G America's Dumbest Pipe
<div class="wiki">
<h3 style="padding-top: 0px;"></h3>
</div>


"We want to be the dumbest wireless broadband pipe. No intelligence in our network. None. Zero."

If this is their guiding principle when designing the network it will be worth Zero. In order for the network to behave *close* to advertised there needs to be a significant amount of intelligence built in. Especially when working with a finite amount of spectrum.

Now if he said that they "planned to build the smartest pipe ever designed and treat all traffic equally" this would be a meaningful declaration.


&nbsp;


-p

kaps
50%
50%
kaps,
User Rank: Light Beer
12/5/2012 | 4:49:53 PM
re: LightSquared: 4G America's Dumbest Pipe


There was some predictable hallway snickering over Ahuja saying LightSquared wants to be "the dumbest pipe out there" -- mainly circling around the idea of whether or not LightSquared's business plan of being dumb was smart.


"If they're not going to add the intelligence, then who is?" asked one anonymous observer. The question is valid, since any company purchasing service from LightSquared will then have to bring its own network smarts to the table -- thereby decreasing potential profits.


I'd be interested in seeing or hearing about any math that shows how a third party could bring a device or service to market at a price below current cellular offerings -- and if so how that would be profitable.

kaps
50%
50%
kaps,
User Rank: Light Beer
12/5/2012 | 4:49:53 PM
re: LightSquared: 4G America's Dumbest Pipe


There was some predictable hallway snickering over Ahuja saying LightSquared wants to be "the dumbest pipe out there" -- mainly circling around the idea of whether or not LightSquared's business plan of being dumb was smart.


"If they're not going to add the intelligence, then who is?" asked one anonymous observer. The question is valid, since any company purchasing service from LightSquared will then have to bring its own network smarts to the table -- thereby decreasing potential profits.


I'd be interested in seeing or hearing about any math that shows how a third party could bring a device or service to market at a price below current cellular offerings -- and if so how that would be profitable.

joset01
50%
50%
joset01,
User Rank: Light Beer
12/5/2012 | 4:49:52 PM
re: LightSquared: 4G America's Dumbest Pipe


From speaking to their CMO recently it seems they're going to try for more expensive devices and cheaper pay-as-you-go plans. Let's not forget there isn't even a whiff of a network up yet anyway.

VoiceOnTelecom
50%
50%
VoiceOnTelecom,
User Rank: Light Beer
12/5/2012 | 4:49:50 PM
re: LightSquared: 4G America's Dumbest Pipe


Yes, how much network and telecom business intelligence does Best Buy have? &nbsp;Or is that fairly easy to come buy if they have simple objectives?


This is the untold "dumb pipe" story, really, isn't it? &nbsp;What will the third-parties do with it? &nbsp;Regulate? &nbsp;Impose their own caps?


Is anything really going to change?


http://thevoiceontelecom.blogs...

SReedy
50%
50%
SReedy,
User Rank: Blogger
12/5/2012 | 4:49:44 PM
re: LightSquared: 4G America's Dumbest Pipe


Ah good catch! I'll delete.&nbsp;

jcadler
50%
50%
jcadler,
User Rank: Light Beer
12/5/2012 | 4:49:44 PM
re: LightSquared: 4G America's Dumbest Pipe


Lightsquared's simple, pipe only offering could be a BETTER business model. &nbsp;Consider Southwest Airlines-- something that got commoditized as an industry matured, which offered the peanuts fares and low priced flights. &nbsp;Why were they lower cost? &nbsp;One plane model, no meals, no frills, no reserved seats, which added up to better profit margins.

Educational Resources
sponsor supplied content
Educational Resources Archive
Flash Poll
LRTV Custom TV
A New Security Paradigm in SDN/NFV

7|28|14   |   02:54   |   (0) comments


Paul Shaneck, Global Director Network Solutions for Symantec, discusses the evolving virtualized network, explaining how Symantec is leading the security discussion as it relates to SDN and NFV, and helping to ensure the network is protected and compliant.
LRTV Documentaries
Sprint's Network Evolution

7|24|14   |   14:59   |   (0) comments


Sprint's Jay Bluhm gives a keynote speech at the Big Telecom Event (BTE) about Sprint's network and services evolution strategy, including Spark.
LRTV Documentaries
BTE Keynote: The Software-Defined Operator

7|24|14   |   18:43   |   (1) comment


Deutsche Telekom's Axel Clauberg explains the concept of the software-defined operator to the Big Telecom Event (BTE) crowd.
Light Reedy
Numbers Are In: LR's 2014 Salary Survey

7|24|14   |   1:25   |   (7) comments


Our fourth annual Salary Survey paints a picture of who's hiring, firing, earning, and yearning for a change in the telecom industry.
LRTV Custom TV
Driving the Network Transformation

7|23|14   |   4:29   |   (0) comments


Intel's Sandra Rivera discusses network transformation and how Intel technologies, programs, and standards body efforts have helped the industry migration to SDN and NFV.
LRTV Custom TV
Distributed NFV-Based Business Services by RAD

7|18|14   |   5:38   |   (0) comments


With the ETSI-approved Distributed NFV PoC running in the background, RAD's CEO, Dror Bin, talks about why D-NFV makes compelling sense for service providers, and about the dollars and cents RAD is putting behind D-NFV.
LRTV Custom TV
MRV Accelerating Packet Optical Convergence

7|15|14   |   6:06   |   (0) comments


Giving you network insight to make your network smarter.
LRTV Custom TV
NFV-Enabled Ethernet for Generating New Revenues

7|15|14   |   5:49   |   (0) comments


Cyan's Planet Orchestrate allows service providers and their end-customers to activate software-based capabilities such as firewalls and encryption on top of existing Ethernet services in just minutes.
LRTV Custom TV
Symkloud NVF-Ready Video Transcoding, Big Data

7|9|14   |   3:41   |   (0) comments


Kontron and ISV partner Vantrix demonstrate high-performance video transcoding and data analytic solutions on same 2U standard platform that is ready for SDN and NFV deployments made by mobile, cable and cloud operators.
LRTV Huawei Video Resource Center
The Evolving Role of Hybrid Video for Competitive Success

7|4|14   |   4:09   |   (0) comments


At Huawei's Global Analysts Summit in Shenzhen, China, Steven C. Hawley from TV Strategies speaks to us about the evolving role of hybrid video for competitive success.
LRTV Huawei Video Resource Center
How CSPs Leverage Big Data in the Digital Economy

7|4|14   |   4:48   |   (2) comments


Justin van der Lande from Analysys Mason shares with us his views on how telecom operators can leverage customer asset monetization with big data. His discusses the current status of big data applications and the challenges and opportunities for telecom operators in the digital economy era.
LRTV Huawei Video Resource Center
Accelerator for Digital Business Future Oriented BSS

7|4|14   |   3:08   |   (0) comments


Mobile and internet are becoming intertwined; IT and CT are integrating; and leading CSPs have begun to transform to information service and entertainment providers. How should the BSS system evolve to enable this transformation? Karl Whitelock, an analyst at Frost & Sullivan, shares his views.
Upcoming Live Events!!
September 16, 2014, Santa Clara, CA
September 16, 2014, Santa Clara, CA
October 29, 2014, New York City
November 6, 2014, Santa Clara
November 11, 2014, Atlanta, GA
December 9-10, 2014, Reykjavik, Iceland
June 9-10, 2015, Chicago, IL
Infographics
Packet Design asks network professionals how they handle the cloud, SDN, and network management.
Today's Cartoon
Vacation Special Caption Competition Click Here
Latest Comment
Hot Topics
The Municipal Menace?
Jason Meyers, Senior Editor, Utility Communications/IoT, 7/22/2014
Cisco Puts a Fog Over IoT
Sarah Reedy, Senior Editor, 7/23/2014
Apple Earnings: Strong iPhone Sales, iPad Sales Slump, $7.8B Profit
Mitch Wagner, West Coast Bureau Chief, Light Reading, 7/22/2014
Salary Survey Report 2014
Sarah Reedy, Senior Editor, 7/23/2014
Like Us on Facebook
Twitter Feed