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Essar to spend $2 bn on ISP infrastructure 

Neeraja Kumar  
New Delhi, April 21: Motorola India will provide Local MultipointDistribution Systems (LDMS) to Essar Telecom, which plans to invest $2billion to set up the infrastructure for providing ISP services.

According to Pramod Saxena, general manager and executive director, SouthAsia Network Solutions Division, Motorola, a memorandum of understanding(MoU) to this effect was recently signed between Motorola and Essar.As per the MoU, Motorola will provide Essar with system design, networkplanning, equipment and integration services, which Essar will then use toset up ISP services.

Recently, Essar had applied for a license to operate as a Category AInternet Service Provider (ISP) covering the entire country. According tothe MoU, in the first phase, Essar plans to offer Internet services across52 cities, with a target of two million subscribers.

Motorola will develop a business model and deployment plan for high speedNet access, set up high-speed Internet channels and multi-media (for graphicintensive streaming videos), says Saxena.

On its part, as per the MoU, Essar will provide interconnection betweenvarious points of distribution, arrange for gateway routers, providebackbone fibre optic/ radio system, provide connectivity to networks, etc.Currently, the two companies are setting up trial systems in Delhi andBombay. Trials will commence in three months time, and the commercialdeployment will take place by the end of the year, informs Saxena.

LDMS is a point-to-multipoint fixed wireless, which solves the "last mile"problem for delivering broadband services. The system operates at highfrequencies (27-29 GHz) and with very large bandwidths. It is hence capableof delivering very high data rates to users.

How does Local Multipoint Distribution Systems LMDS work?
Typically, an LMDS system consists of a hub (radiating base station) locatedcentrally. The subscriber units, with a roof top unit and an indoor unit areinstalled on "line-of-sight" basis. "They are suitable for locations whereusers require very high bandwidth", says Saxena.

LDMS equipment is generally used for providing multiple line telephony, highspeed data links, high speed data Internet access, video conferencing, etc,for medium and large corporates. Such systems are suitable for softwaredevelopment centres, call centres, medical transcription, post-productionfacilities for video programmes, as well as for residential multi-dwellingunits.

LDMS is normally deployed in large cities with high concentration of usersas one can get a large number of subscribers within the desired area, addsSaxena.

However, since LDMS systems operate at very high frequencies, they areadversely affected in areas like Bombay, which receive heavy rains - thesignals gets absorbed in the rain, thereby fading the transmission.The solution to this problem is using a combination of LDMS and MultimediaMultipoint Distribution System (MMDS) solutions, which can help ISPs cover alarge area and overcomes the rain fade problem, says Saxena. The MMDS has amuch lower frequency range (3 GHz), and a combination of both MMDS and LDMScan help service providers cover a large area and overcome the rain fadeproblem. Motorola is currently talking to Dishnet for its MMDS solution,informs Saxena.

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