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Clearwire and Cisco announced today an alliance designed to enhance and expand CLEAR 4G mobile WiMAX services throughout the United States. Under terms of the agreement, Clearwire has selected Cisco as its national Internet Protocol Next-Generation Network (IP NGN) core infrastructure provider, and Cisco has announced plans to build new mobile WiMAX devices for CLEAR, probably from its Linksys division.

Cisco is aiming to introduce its first mobile WiMAX device later this year. Clearwire currently provides mobile WiMAX services in Baltimore, Portland, Atlanta, and soon Las Vegas, with plans to bring its CLEAR 4G service to more than 80 markets across the United States by the end of 2010.

Clearwire has selected and is in the process of the testing and certification of a Cisco IP NGN architecture that includes Cisco 7600 routers, Cisco ONS 15454 and Cisco ONS 15310 platforms, Cisco ASA Firewalls, and the Cisco Service and Application Module for IP (SAMI) Home Agent.

Cisco will be the primary IP network solution provider for Clearwire’s 4G network. Clearwire’s chief strategy officer, Scott Richardson, said in a conference call this week that whatever network elements Clearwire buys will have to “plug-and-play” with an IP network core that is largely going to be supplied by Cisco, although Richardson stressed that even Cisco isn’t likely to be a 100 percent supplier for the core. Cisco’s Linksys line of consumer routers will likely provide future converged WiMAX- and Wi-Fi-enabled devices.

Cisco will provide core Internet Protocol Next-Generation Network (IP NGN) equipment in support the WiMAX Innovation Network, covering more than 20 square miles in Silicon Valley this summer. Commercial service for the Bay Area is planned for 2010. To qualify for free service, developers must register for Clearwire’s developer program and describe the products or business ideas they wish to pursue.

A Cisco Mobile Forecast for 2008-2013 noted that a single high-end data phone today generates more data traffic than 30 basic-feature cell phones, while a single laptop air card generates more data traffic than 450 basic-feature cell phones. Cisco projects that mobile data traffic will increase a thousand-fold over the seven years from 2005 through 2012, with video being a significant component.

Cisco also recently announced that it is supplying mobile WiMAX infrastructure to Russian wireless ISP Scartel, Georgian mobile operator MagtiCom, and AsiaBell’s mobile WiMAX service in central Kazakhstan. Cisco has won many WiMAX contracts in Eastern Europe:

Corporate backers have so far received little for investing in Clearwire, says the Wall Street Journal. Google, Comcast, Intel and Time Warner Cable helped pour $3.2 billion into Clearwire late last year – and not long afterward absorbed roughly $2 billion in related write-downs.

Clearwire’s challenges give it an uncertain equity value, but it has one asset firmly locked up; spectrum. Clearwire boasts more than any U.S. wireless operator, 120 MHz in most major cities — that’s nearly ten time the amount of most cellular providers.

Clearwire expects to launch WiMAX in Atlanta, Las Vegas, Chicago, Dallas/Fort Worth, Honolulu, Philadelphia and Seattle this year. They will spend $1.5 billion to $1.9 billion this year of the more than $3 billion it received from investors.

Related DailyWireless stories include; Cisco Beamforms Russia & Kazakhstan and Enforta’s Russian WiMAX Expands.

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