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Sparkplug Sets Off Chicago Bandwidth Explosion

TelecomWeb
By Stuart Zipper
June 10, 2008

Fixed wireless business broadband provider Sparkplug has completed a major expansion of its service in the Chicago metropolitan area, upping the number of businesses it reaches by 43 percent.

The company, which operates in five states (including the metropolitan markets of Chicago, Nashville, Des Moines, Phoenix and Las Vegas) says it's increased both the capacity and footprint of its Chicago network, adding 19,000 businesses to its potential customer base and bringing the total number of businesses in Sparkplug's service area to more than 63,000. As with most wireless business broadband providers, one of Sparkplug's mantras continues to be the speed with which it can hook up a new customer looking for symmetrical business service, compared to the time it takes to provision service via wireline. "With Sparkplug, businesses can be up and running in a day or two. Wired alternatives often require months of waiting," the company says. "Sparkplug can also increase customer bandwidth capacity on demand as business needs evolve." Such demand, the company says, is growing.

"Our continuing growth and expansion in the Chicago market is a reflection of the demand we're seeing for a better class of business broadband service," comments CEO Bill Malloy. "Customers in Chicago and all our markets across the country are asking for a solution to their growing broadband demands that goes beyond what is available today."

TelecomWeb news break also chatted with Malloy for his take on the wireless broadband technologies his company is using, particularly because the company's publicity blurbs claim it "leverages WiMAX technology" and then, in the same breath, quotes speeds such as 1 Gb/s that are more than 20 times faster than WiMAX can deliver on a good day at short distances. The blurb is the same as we've seen from a string of wireless broadband providers. As it turns out, there isn't much WiMAX in Sparkplug's networks although, to be sure, it does sometimes use hardware that honestly is WiMAX Forum-certified.

"We're agnostic to the technology," Malloy says. "WiMAX...it's the trade name it is. What has happened is that it's grown to be a brand name, a trade name, the highest level of understanding of wireless."

To the unsophisticated, he continues, "it means 'now I can use wireless.'" That being said, Sparkplug is using what Malloy is calling a "hybrid" network, with hardware from Alvarion, DragonWave and Motorola. (Alvarion is the only one of the three with WiMAX-certified products, according to the WiMAX Forum Web site. Motorola, with its definitely non- WiMAX Canopy product, is considered the market leader.)

According to Malloy, when it comes down to it, his business customers don't really care what technology is being used to dish up the broadband they're demanding. "What we're seeing with these customers," Malloy explains, is that "they're serious businesses (and) their broadband needs are growing incredibly."

He adds, "They start putting voice over it (broadband), they start adding applications that are exchange-based or SaaS (software as a service)-based, and the wired plant is going to reach its limit." But upgrading the wired plant can take a long time, he continues, and "these folks need to scale quickly. The last thing you want to do is hit a limit set by a wired plant or where you're located."

The bandwidth a business needs "used to be a function of how many employees" a company has, he continues. "Now, five employees can use 100 megs of symmetrical service," he says (IEEE 802.16, the wireless metropolitan area network (MAN) standard that's been mis-named WiMAX by the non-observant, only supports as much as 45 Mb/s).

For those unfamiliar with Sparkplug, it was born in 2006 as the result of the merger of a trio of existing wireless broadband houses: Sparkplug in Chicago; Prairie iNet in Des Moines, Iowa; and Telespectra in Phoenix. Early last year, it picked up $22.5 million in venture capital, with which it's both built out its networks with fresh builds and started buying up compatible wireless broadband providers around the country, most notably Las Vegas-based Verde Communications, reputedly the oldest wireless broadband provider in southern Nevada (TelecomWeb broadband, July 24, 2007).