who are these guys? And what do they want?
is Raze Technologies?
Incorporated in June 2000, Raze Technologies is expanding broadband
services to markets with populations from 1,000 to 890,000 people
where cable modem and DSL services are not available. Based in Plano,
Texas, the company has developed a fixed broadband wireless access
system. The SkyFire System gives local telecom service providers
the power to offer bundled voice and data services to unserved markets
at greatly reduced operating costs.
did Raze start?
Initially, DSL was touted as the ultimate solution to the worlds
Internet access problems. However, service providers soon found
that DSL and cable modem service couldnt reach a large percentage
of subscribers due to "last mile" cable/wire impairments. Raze Technologies
was founded on the realization that DSL and cable modem services
will never fully satisfy the broadband Internet access needs of
residential, small office/home office (SOHO) and small to mid-size
is Raze Technologies funded?
Shortly after its June 2000 incorporation, Raze closed initial funding
through LM Wireless Solutions L.P., a Dallas-based venture capitalist
firm specializing in telecom investing.
is Raze Technologies SkyFire system different from other wireless
Using the SkyFire system, service providers can deliver high-speed
Internet access, up to four voice lines and other services to each
customer. A majority of Raze Technologies competitors offer
Internet access only. This disparity promotes customer retention.
Service providers can also roll out the system faster and at a lower
cost than any other fixed wireless broadband system.
does the SkyFire work?
SkyFire is a fixed broadband wireless access system, primarily using
digital signal processing techniques to provide voice and data services.
These services are delivered over a wireless infrastructure to residential,
SOHO and small to mid-size business customers.
can competitive service providers benefit from using the Raze SkyFire
Low deployment costs make it profitable for service providers to
launch SkyFire in markets with as few as 1,000 subscribers. With
costs starting at $2,000 per subscriber, other systems are cost-prohibitive
in such markets. But with Raze, the cost per subscriber is a fraction
of that figure. This significant savings gives competitive service
providers an overall cost-model thats less sensitive to penetration
rates and more profitable overall. Plus, until now, CLECs were primarily
successful only as business carriers because of high line-rental
costs charged by ILECs. With Raze, service providers own their systems,
so there are no prohibitive fiber costs or line rental costs charged
by ILECs. In other words, Raze developed its SkyFire system to open
new, smaller markets and residential markets. And, just as deployment
costs are lower, so is the cost of ownership over the systems
life cycle. Additionally, SkyFire deploys faster and requires fewer
maintenance calls than other systems, again increasing its profitability.
can Raze Technologies offer this product at such a low cost?
Typically, in a fixed broadband wireless access system, 85% of the
cost is in the subscriber unit; however, dramatic advances in silicon
technology helped Raze Technologies build smaller subscriber units,
requiring less power. By providing less expensive subscriber units,
Raze Technologies has dramatically reduced the overall cost-point
for competitive service providers.
the popularity of DSL and cable modem services, is there really
a market for this type of product?
Absolutely. According to major analysts, cable modem service is
available to less than 44% of U.S. households, and DSL is expected
to serve only 24% by the end of 2000. Studies also show that 50%
of the United States will not have access to a DSL or cable modem
line in the next five years. In addition, market trends are leaning
toward the integration (or convergence) of voice and data services.
Residential and business voice and data services have a combined
value of about $100 billion. By 2005, systems offering converged
voice and data services will have a market value of $150 billion.
Raze Technologies will give service providers the ability to offer
these bundled voice and data services in areas where DSL and cable
modem services are unavailable.
No. Raze Technologies SkyFire system has the potential to
operate up to 20 times faster than DSL.
about interference from trees, buildings and weather?
Weve made certain that interference will never be an issue
with end-users. Raze Technologies has developed a number of algorithms
using advanced digital signal processing techniques to eliminate
multi-path distortions caused by buildings and trees. Plus, the
SkyFire system works in frequency bands not affected by weather.
The security of the RazeSkyFire system is comparable with DOCSIS-based
systems, a standard pioneered for the cable modem industry.