Monday, January 7, 2013

FirstNet, a Business Model, and the only way we can build and self-sustain this big network?

It should be easily to see that a simplistic view of what the Public Safety Broadband Network is going to be. In short it’s nothing other than a private LTE network, much like AT&T and Verizon…only in this case you don’t have all the existing old 2G and 3G infrastructure to deal with, no margins on subscription fees, plus we don’t have to be weighted down by the OEMs…or do we?

There is a lot of confusing talk about the complexities associated with feature-sets, interconnectivity and interoperability, but realistically its just a cell phone network on steroids. It has a lot of potential and has the ability to drive a lot of customization and technical advancements that we have never seen. But will we really see them?

In the real world it takes money to make things happen. The only reason we have the advancements of LTE today is due to the fact that the carriers sell services that users want (most of the time). That demand creates revenue, which drives the OEM manufacturing process (equipment manufacturing). In order to differentiate themselves the OEMs create new and better technology advancements that the carriers can use and that the users demand…but what happens when the network is limited to just a few types of users?

If the Public Safety Broadband Network, FirstNet in this case, does not adopt a business model that taps into all its available, potential, clients then how do they expect to create the demand? Sure we can put money out there, taxpayer money, to build the solution, but how do you create the “self sustaining” element? By “self sustaining” I mean the entire ecosystem that is driven by user demands which manipulates the OEM process. We can’t just expect that we will build the network, and even fund its long-term operations, without having the user demand side drive the research and development of the OEM process. If we do then we will have a really big and overly complex broadband network that we can’t even begin to fully use. It’s like we just bought a Ferrari but drive it like a shopping cart around the Walmart parking lot.

After spending the better part of 10 years researching and publishing on this topic; I have the luxury to promote my professional opinion… that there is only one real way to successfully deploy this network, align all the business goals, plus still have enough generated revenue to provide for the network for the foreseeable future…. a Public Private Partnership that is funded by Private Equity and controlled by a representative board of elected share holders. This is the business model that the States are beginning to explore and it's the best solution that FirstNet should adopt….but…I’m…

Just some guy and a blog….

No comments:


Words to Live By: “Here’s to the crazy ones, the misfits, the rebels, the troublemakers, the round pegs in the square holes… The ones who see things differently — they’re not fond of rules… You can quote them, disagree with them, glorify or vilify them, but the only thing you can’t do is ignore them because they change things… They push the human race forward, and while some may see them as the crazy ones, we see genius, because the ones who are crazy enough to think that they can change the world, are the ones who do.” (Steve Jobs)